Volkswagen India adds a milestone to the company’s history as it exported its 2,50,000 cars to Mexico. The Indian branch of the German manufacturer has indeed added a feather to its cap. These India made cars are different variants of left hand drive Vento sedan and Polo hatchback.
Volkswagen also declared that Vento was the third largest selling passenger car sector in Mexico. The car company began the production of Vento in 2009 and began exporting the car to Mexico in 2013.
More than half of the cars produced at the Volkswagen plant in Pune, Maharashtra contribute to export for Mexico. The Jetta Classico of the Mexican market was replaced by VW Vento manufactured by India. The build, quality, comfort, design and safety standards of the car has since then fascinated the buyers in Mexico.
Volkswagen did a business of 86, 852 cars in the year 2016-17. By registered a growth of 14.3% and became the fifth largest auto exporter of India. They were also the company to export the highest number of cars in this financial year compared to its competitors Maruti Suzuki and Nissan. In the financial year 2015-16 they had exported 75,989 cars.
The company has made an overall export of 3.10 lakh cars and the users of Volkswagen cars are spread in more than 35 countries across Asia, Africa, North and South America.
While being one of the best Volkswagen also entrusts the best to have their job done as the shipment of Mexico would be delivered by Hoegh Trigger which is one of the biggest vessels of Hoegh Autoliners – the largest pure car and truck carriers in the world.
The President and Managing Director of Volkswagen India Private Limited, Dr. Andreas Lauermann said that the increasing demand of India-made Volkswagen cars in international markets such as Mexico bear testament that the company focuses on quality products throughout their manufacturing investments across the world – in accordance with their “think global, build local philosophy!” Speaking about India he said, they have offered Volkswagen a rich blend of local market opportunity along with manufacturing expertise which has helped the company to benefit the world with cars that are “German in their soul and local in their flavour.” Volkswagen would continue investing in this prospect and await further accomplishments from India in the future years.
Less production related and labour costs are the main reasons to why car makers flock to India to set up their export hub.
Volkswagen has made an investment of about Rs 6,000 crore/ € 825 million at the Chakan, Pune plant. They have attained a localization of around 82% without transmissions and engines. There are 4,000 employees working in this plant which has been functioning since March 2016.
Also there are reports which reveal that the probable partnership between Volkswagen and Tata Motors seems to have led nowhere and the discussion seems to have been closed. Volkswagen had desired to further cut down on the cost of production by sharing the platform with the local companies in India. They are now focused on developing their own platform in the country.