From The Economic Times · Shally Mohile · · 1m 10s
Volkswagen and JSW to accelerate India expansion
Volkswagen Group and JSW Group plan joint venture to boost India's electric vehicle production by 2027.
In brief
Volkswagen Group and JSW Group plan joint venture to boost India's electric vehicle production by 2027. Volkswagen Group and JSW Group aim to launch two locally assembled electric vehicles in India by 2027 through a joint venture to enhance competitiveness and profitability. Originally reported by The Economic Times.
Volkswagen Group and JSW Group partnership
Volkswagen Group plans to revamp its India strategy with JSW Group for deeper localisation and expanded production within two years.
“The Volkswagen Group is set to start a complete overhaul of its India strategy weeks after forging a potential joint venture pact with the Sajjan Jindal-led JSW Group.”
Targeting joint venture completion by mid-2027
The companies aim to conclude the joint venture before mid-2027 to enhance competitiveness in India through local assembly and R&D.
“The local partner will increase investment, and boost scale and competitiveness much faster.”
Two locally assembled electric vehicles
Volkswagen plans to introduce two battery electric vehicles assembled locally in India within two years to improve profitability by 2030.
“VW, which has been holding back on introducing EVs in India for over two years, now plans to introduce two locally assembled battery electric vehicles (BEVs) within two years.”
JSW's existing plants for electric vehicles
JSW Motors will use its existing plants in Chhatrapati Sambhajinagar and Halol for assembling electric vehicles with Skoda Auto.
“JSW has offered its plants-the one owned by JSW Motors in Chhatrapati Sambhajinagar and the JSW-MG Motor plant in Halol-for the assembly of the electric cars from Skoda Auto.”
Addressing job concerns
The joint venture aims to reassure employees about job stability after VW ceded majority control to JSW.
“The whole idea behind the address by Peters and Piyush Arora, MD and CEO, SAVWIPL, was to assuage concerns, allay fears of job cuts and layoffs.”
What to remember
Volkswagen Group and JSW Group aim to launch two locally assembled electric vehicles in India by 2027 through a joint venture to enhance competitiveness and profitability.
