Volkswagen considering a small car for Indian market

German auto giant Volkswagen has already announced the plans to open up a manufacturing plant in the Indian city of Visakhapatnam. They have already have a solid presence in the Indian market through Audi and Skoda. The latest news in is that the company is now planning to start manufacturing a small car for the Indian market sometime next year.

The company has reportedly already made concrete orders for the production of the said model rumored to be based on Volkswagen Fox which is currently being made in the Brazilian market. The company sources in India have refused to comment on the speculation. However, they have confirmed that the company chief executive Bernd Pischetsrieder is due to decide on the plans to manufacture a model in India soon.

The Indian market is all about low priced small cars which can provide an excellent value for money and is big enough to hold a small family. Maruti is the current market leader with their Alto and 800 models. Hyundai is another solid competitor in the segment with Santro and the recently launched Getz. The premium segment compact car market was just ignited with the launch of Suzuki Swift from the stables of Maruti.