Rumour: Skoda, VW looking to sell locally built engines

According to a media report, Skoda and Volkswagen will be looking for buyers for their locally manufactured engines. It is part of the VW Group's India 2.0 project as the carmaker aims to meet economies of scale. 

In addition to new product platforms, the VW Group is also planning to develop a new family of engines. These will be built in India which would be used in upcoming cars that would have 95% locally sourced parts. 

If the VW Group does find buyers for its engines in India, it will be the only other carmaker after Fiat Chrysler Automobiles (FCA) to sell engines in the country. Currently, FCA supplies the 1.3-litre, 4-cylinder diesel engine to Maruti Suzuki and Tata Motors. Its 2.0-litre, 4-cylinder diesel unit will soon feature on the upcoming Tata Harrier SUV.

Source: Moneycontrol

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