INR 720 Crore invested on the project.
VW India today confirmed that its India-specific compact sedan is scheduled to make its world premiere at the Auto Expo 2016 in February. The company also confirmed that the production of the compact sedan will commence at the Volkswagen Pune Plant in the first half of 2016.
Speaking on the compact sedan, Mr. Michael Mayer, Director, Volkswagen Passenger Cars India said:
With our new compact sedan, we will focus intensively on the specific requirements of our Indian customers.
The company has invested INR 720 crore on the new model, which is expected to compete against popular sub-4m sedans like the Maruti Dzire, Hyundai Xcent, Ford Figo Aspire, Honda Amaze and the Tata Zest. The investment, VW said, will cover the cost of development, new factory equipment, and ramping up the production of the vehicle.
Christened by the internet as VW Polo Stuffe, it will reportedly share more than a platform with the VW Polo, which includes engine lineup and design cues. Speaking on the former, it could get the 1.2-liter three-cylinder naturally-aspirated MPI engine matched to a 5-speed manual transmission as its petrol option.
A diesel variant will pack the new 1.5-liter TDI four-cylinder, also paired to a 5-speed manual. It's unclear if VW will throw in an automatic transmission in either the petrol or diesel variant.
The official press is posted below for further reference.
VW India's compact sedan to premiere at Auto Expo 2016 - Press Release