Audi Assembling Q5 SUV In India To Save Hefty Excise Duty


After the news about Tata assembling the Land Rover (FreeLander 2) its Audi’s turn to heat up the market and the process has already begun.We are talking about Audi Q5 assembly in India which has been started and the brand is certainly content with it.


The local assembly of this Rs 40 Lakh SUV is taking place at the company Aurangabad plant and is keen on manufacturing at least 1500 units per annum in order to meet the demands as well as cut the excise duties imposed on the CKD (completely knocked down) models, which is otherwise a heavy excise duty in case of a CBU (completely built unit).

Audi Board Member for Production, Frank Dreves, said,“The production of the Q5 is a part of our long-term growth strategy in India and The Q5 is the right automobile at the right time,”. According to the brand the collaborative sales figures of Audi Q5 and Audi Q7 are more than the sales of all its competitors’ put together.

Till date the company has rolled out 2000 units and plans to touch the 6000 mark by 2015 and with the Q5 joining the league of locally assembled cars like the Audi A4 and Audi A6 the overall production output this year will be 2,400 units as against 732 units last year.

We hope Audi would also consider assembling its top-end cars like Q7 and Audi A8 in India as well.

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  1. This is a great move with one huge drawback. I test drove a Q5 3.0TDI recently and fell n love with the car. However, the deal with the CKD option list is such that the denied Indian buyer gets all of 2 choices. Basic car or a “package” that Audi has pre-decided as appropriate to fulfill the demands of the discerning Indian buyer.
    The new car , even with the “package” will not get driver memory seats, surprisingly standard on the likes of BMW 3 series and the Merc C class which happened to be priced at half the value of this car.
    No will the the deaf Indian buyer need the fabled superb Bang & Olufsen sound system. Apparently the Indian buyer would not need something like this as he/she does not appreciate good sound.
    For me, this is a deal breaker.
    WA shen you spend a lot of your hard earned money on a car you need the feel good factor. Lack of these 2 options erodes it for me. A super SUV that , due to lack of options that should have been the choice of the buyer, pushes customers away. I would rather wait, save up and look at the next level, such as the M class or the X5…when I have the money… rather than compromise and drive something which would constantly make me sigh and make me wish ‘I wish this car had…’

    Audi’s motto..Vorsprung durch Technik’, in English meaning ‘advantage through technology, is obviously not applicable to the new Q5 for Indian buyers. Sad!!!


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