Skoda-Auto Volkswagen Receives Green Signal For Rs 15,000 Crore Investment

Skoda-Auto Volkswagen India Pvt. LTD. (SAVWIPL) has got a green signal from the Maharashtra government for a fresh investment of Rs 15,000, to establish a manufacturing facility in Chakan. This new investment is a part of 1,20,000 crore investments that have been cleared by the state government. Cabinet minister Devendra Fadnavis revealed the news on X. Another carmaker that has is benefitted by this approval is Toyota Kirloskar Motor for its new manufacturing facility.

One more BIG news for Maharashtra !
Huge investments of total
₹ 1,20,220 crore approved in today's Cabinet Sub-Committee Meeting, with CM Eknath Shinde ji !

The detailed list of approved investments is as follows:

✅Tower Semiconductor with Adani Group at Taloja MIDC, Panvel… pic.twitter.com/DVI9z94WyU

— Devendra Fadnavis (@Dev_Fadnavis) September 5, 2024

Celebrating the approval of its new production unit in Maharashtra, VW said, "Skoda Auto Volkswagen India Pvt. Ltd welcomes the Maharashtra State Government's approval on the fresh investment up to INR 15000 crores. The investment aims to further enhance the Group's product portfolio in the best interests of the Indian customers while also focusing on more sustainable mobility solutions. This includes among other things BEVs and the further improved next generation of ICE vehicles, manufacturing facilities upgrades, and creating additional jobs - both direct/indirect - and thereby fostering sustainable growth in the region. We will provide more details on the agreement at a later date."

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Skoda-Auto Volkswagen India will channel these funds into multiple ventures around its brands - enhancing production capacity, developing new products, and reinforcing employment with job creation of nearly 1,000 positions in the state. Also, this investment aligns smoothly with the company's India 2.5 strategy. As per Devendra Fadnavis' X post, the company will be focusing on producing electric and hybrid vehicles.

Also, Skoda is preparing to launch a sub-4m compact SUV that also be retailed with the VW's design theme. Moreover, Volkswagen and Mahindra are working in tandem for a future EV platform.