[RahulNagaraj]

Czech car brand Skoda is said to be considering the possibility of withdrawing from the Chinese market. According to reports, Skoda Auto CEO, Klaus Zellmer was quoted saying that the company will take a final decision sometime next year.



Zellmer stated that the reason for considering the exit is the intense competition in the Chinese market. The decision on how to proceed further will be taken together by Skoda and its Chinese JV partner after considering all scenarios.

Although the CEO didn't reveal any details, Zellmer did mention that Skoda wants to focus more on India at the moment.

Source: Automobilwoche

Link to Team-BHP news

[Maky]

I would be interested in knowing the sales figures of Skoda in China, seeing the mention of their desire to focus more on India.
I always figured sales were aplenty in China for all brands and incomparable to India, where they have only started doing some meaningful numbers since 2.0.

[Arsenic]

This makes a lot of sense. In China, VW has two JVs to assemble cars, and VW is able to successfully cover both the mainstream and semi-premium market, has Audi to take on the premium market (and luxury, with the A8L Horch) and also has a China-exclusive brand, Jetta, to cover the budget end of the market. There is no niche for Škoda to cover, and Škoda fundamentally offers NOTHING extra to VW China. VW has a lot more cars on sale, and has excellent recall in China, vs the relatively unknown Škoda brand.

On a related note, any chance we can get the nice-looking China-exclusive Kodiaq GT in India?

[vedirah]

Does this mean the Octi won't be discontinued or we'll get a new Octi? Seeing as how it's the staple of the skoda brand in India, it would make sense for them to keep it in their portfolio.

[Caffeinated_Owl]

It's sad to see Skoda considering a withdrawal from China due to intense competition from local brands. It will be interesting to see if they decide to only sell imported cars or completely pull out of the market. Skoda has had a rough year globally, with a 31% drop in Chinese deliveries and a 22% drop in global deliveries in the first three quarters of 2021. Hopefully, the brand can focus on growth in other markets like India and Vietnam, where it sees potential for up to 40,000 annual sales. The future of Skoda's Russian business is also uncertain due to the invasion of Ukraine and a halt on production and sales in the country.

It's important for any brand to continuously assess their position in international markets and adapt to local developments, but let's hope Skoda can find success in other regions.

[Hulk]

Originally Posted by vedirah

Does this mean the Octi won't be discontinued or we'll get a new Octi? Seeing as how it's the staple of the skoda brand in India, it would make sense for them to keep it in their portfolio.

I read somewhere (I think autocarindia), that Skoda is considering replacing the current Octavia with the plug-in hybrid version that's now available internationally. This might be due to the upcoming emission norms.

[SKC-auto]

With Chinese EV market reaching 1/3rd of sales, and most Chinese preferring local EV manufacturers, small manufacturers are exiting the market, we have seen Jeep exit the market few months ago.

The reason Toyota now has greater focus on India, with Chinese, EU and American markets are transitioning faster to EVs, India may look like the last resort.

https://www.bloomberg.com/news/artic...exit#xj4y7vzkg