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India Is Now Skoda’s Biggest Market Outside Europe

Amandeep by Amandeep
2 years ago
in Car News
A A
skoda kushaq delivery india

Skoda Kushaq has played an instrumental role in helping its carmaker consolidate its position in the Indian market.

Thanks to Skoda Kushaq and Slavia, the company has witnessed impressive sales growth in the Indian market. Now, India has become Skoda’s biggest market outside Europe.

Skoda India is having a dream run in the Indian market. Last year, it successfully launched the Kushaq and Slavia models in the country. This has led to significant sales growth for the company. Skoda India sold 51,865 cars in 2022 (128 percent more than the previous year). It has become the 9th largest automotive brand in the Indian market. Additionally, India has now become Skoda’s biggest market outside Europe. Now, the company is planning to expand into the Vietnam market next.

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India has surpassed UK (with 50,000 units) to become Skoda’s third-largest sales market. Currently, Skoda’s biggest market is Germany, where it sold 134,300 units. Additionally, the company sold 71,200 units in its home market, the Czech Republic. Overall, Skoda saw strong growth trends in the 2022 market. In India, the brand has successfully produced models like Kushaq and Slavia, which resonate with Indian consumers. It also managed to double its vehicle deliveries last year.

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Skoda India To Export CKD Cars To Vietnam

After this impressive growth in India, Skoda is planning to move into the Vietnam market. It aims to assemble CKD Cars (Completely Knocked Down Cars) from India in Vietnam. This includes models like Kushaq and Slavia. The company plans to sell 30,000 vehicles annually in the Vietnam market. It will use the Skoda Auto production plant in Pune, India to export CKD cars to a new plant in Vietnam. Thanh Cong Motor Vietnam’s own production line will be completed in H1 2024.

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The new EU-Vietnam Free Trade Agreement has eliminated most tariffs and reduced regulatory barriers in the country. It will enable rapid expansion to more than 50 dealers. Skoda also aims to make 40,000 deliveries by 2030. With Indian and Vietnamese markets, Skoda aims to strengthen its presence in Southeast Asian markets. It is also expected to grow in the Middle East and other ASEAN markets. By entering into multiple geographic regions, the company is trying to diversify its revenue streams and tap into new customer segments.

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