With plans to launch a sedan version of the Fabia hatchback around the corner, German carmaker Volkswagen is increasing annual production at its plant in Chakan, near Pune, to 1.3 lakh units.
“Production of the SK251 (product code), or the Fabia sedan, will start soon at this plant. By that time we will increase production to about 500 units a day, from the present 450,” said a company official during a tour of the plant.
At present, the Volkswagen Group plant has an annual capacity of 1.1 lakh units and manufactures the Volkswagen Polo (about 200 units a day), Vento (an estimated 180 units) and the Skoda Fabia (about 70 units) models. The company has invested about Rs 3,800 crore at the facility, which is spread over around 600 acres.
In the past year, the company had come under pressure with demand for the Polo and Vento outdoing supply and leading to a maximum waiting period of up to six months. However, this subsequently came down as Volkswagen increased the production run at its plant.
Ramp-up plans
“We will reach a production capacity of about 1.3 lakh units by the end of the year. As part of our ramp-up plan, we started the third shift a few weeks back,” said Mr Alexander Skibbe, Head of Communications, Volkswagen India.
According to industry sources, the Fabia sedan may be christened ‘Rapid' and would share the Volkswagen Vento platform, just as Fabia shares its underpinnings with the Polo. The launch is expected this year around Diwali, though the company did not confirm that.
Besides the Vento, the Fabia sedan is expected to compete with the Maruti Suzuki SX4 and the Honda City and be offered in both petrol and diesel options.
In the domestic market, the company also sells the Jetta, Passat and Phaeton sedans, the Beetle compact, besides the Touareg SUV. These are all imported as fully built units.