Volkswagen deepening its tooth in the Indian market as stated of starting the production of engines in India.
As per the official letter shared by the company, it has said to commence production of 1.5-liter diesel engine in the country. For this strategic move see the daylight, VW too had reported of establishing the new diesel engine assembly line at the Chakan facility in Pune.
It seemed, the company is quite interested in carrying operation in India, as had reported of investing 30 million Euro (Rs. 240 crore) in the plan. The production of 1.5L diesel is actually plotted to take place during the ending days of 2014.
Hope so, with such investments in its Pune factory, Volkswagen had on its mind to bring in various models to the country. And with the local production of engine the cost factor may also be bragged down by various notches making the brand to stand competitively against the local automakers.
This term of localization is termed to be at starting stage of the company’s move, as the VW is completely intended to increase the ratio of local components in its cars for India during the coming years.
With this new job in the enforcement soon, more than 260 direct jobs will be created in the VW’s Chakan plant of Pune. The new line that is created for the diesel powerplant is spawned over an area of 3,450 sq. meter. As per the official numbers, German automaker had claimed of assembling more than 98,000 engines a year when the line is worked at full-capacity deploying three-shift-system.
As of now, the upcoming locally manufactured 1.5L diesel engine is used only for Polo GT TDI. However, when it will start the local production of engines all the global standards will be followed.