Volkswagen to invest US$250 million in attempt to improve sales in India
July 17, 2014, 12:01 am TWN
NEW DELHI--Europe's biggest automaker Volkswagen said Tuesday it would invest US$250 million in India over the next six years to capture a larger slice of local sales, in the face of challenging conditions in developed markets.
The German powerhouse has been striving to make inroads in India and other emerging economies as markets in developed countries become saturated.
"India is a strategic market for us," Volkswagen India president Mahesh Kodumudi said in New Delhi, adding that over the next five to six years the company would invest 15 billion rupees (US$250 million) in the country.
Volkswagen, which holds just over two percent of the Indian car market, will pour funds into localizing production in a bid to cut costs and better compete with rivals.