VW could start exporting low cost cars from India

Tata’s Nano minicar has put India in the spotlight as a center for low cost manufacturing. Few believed the Indian giant could keep its promise of delivering a car costing only $2,500 but just two weeks ago in front of the world’s media the covers finally came off the breakthrough model. Other carmakers are now realizing the potential India has to offer and one of these carmakers is Volkswagen, which is now considering manufacturing cars in India exclusively for the export market.

VW is currently building a €410 million plant in India to produce cars for the local market, but as the carmaker’s Chief in India Andreas Prinz pointed out during an interview with Business Line, "there’s no reason why the plant can’t build cars for export". This means that your next Golf or Jetta could be sourced from a factory in India. We just hope the developers nail any quality issues before the project is given the green light.

The first Indian manufactured car will be a unique model based on the next-generation Polo platform and will hit the market sometime next year. "The car made in India will have higher wheel base with better ground clearance and also have bigger capacity inside the car," Prinz revealed.