German automaker Volkswagen will kick off its electrification journey in India with the launch of its electric car ID.4 later this year as part of its global efforts of mass electrification, a senior company official said on Thursday.
The company, which unveiled the ID.4, expects the Indian passenger vehicles market to grow 5-7 per cent this year while it is targeting 10-15 per cent growth for itself.
"Our first step to the electrification journey in India begins with the ID.4...," Executive Director Sales International Operations, Volkswagen Passenger Cars Michael Mayer said here at the Volkswagen annual brand conference.
He said the ID.4 is being brought in as part of the company's global efforts of mass electrification.
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It will be launched in the Indian market later this year.
Globally, VW is leading in the electrification journey, he said, adding, as part of the company's commitment to the Paris Climate Agreement 2030, it is continuing efforts in various spheres, including the development of charging infrastructure that's key to acceptance of EVs, recycling of batteries, digitalisation and connectivity solutions.
The company is offering different products from ID.2 to ID.Buzz globally targeting several segments of customers, Mayer said, adding that globally, VW's electric vehicle (EV) sales grew 21 per cent at around 4 lakh units in 2023.
"This is not the end of the story. It is our goal to take this success to other markets," Mayer said.
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However, he added, "This would be a phased approach, wherein we will strengthen our current portfolio on the basis of brand positioning for the market."
"India, needless to say, continues to be a key market for Volkswagen. India is a 4 million car market now and is expected to grow 5-7 per cent this year," he asserted.
The Indian automotive industry is now ranked third in the world even surpassing Japan, Mayer said, adding, "Who would have thought it ten years back?"
He said VW is committed to the Indian market and the company will continue to introduce its premium products over the next few years.
Volkswagen Passenger Cars India Brand Director Ashish Gupta said the company's sales grew 8 per cent in 2023.
The company had sold around 44,000 units.
"Our target this year in 2024 is to increase it by 10-15 per cent," he added.
The company will continue to expand its sales and service network to tap opportunities coming from Tier II and Tier III cities.
He said the company is targeting to have a presence in 170 cities with 230 sales and pre-owned car touch points along with 150 service centres in 2024.
Last year, it had set up 45 sales and service touch points, he said, adding that at present, the company has 193 sales and pre-owned car sales touch points and 145 service centres in 145 cities.
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