Skoda’s new compact SUV likely to be priced in range of Rs 8 lakh-14 lakh

Skoda’s new compact SUV likely to be priced in range of Rs 8 lakh-14 lakh

Skoda Auto India’s upcoming model, which is slated for a 2025 rollout, will be positioned in the B-segment Sports Utility Vehicle (SUV) market and will be priced in the range of Rs 8 lakh-14 lakh (ex-showroom), sources told Moneycontrol.

According to sources, the petrol-driven SUV will be a direct competitor to Tata Nexon, Hyundai Venue and Maruti Brezza. Segment B cars are typically smaller ones that are budget-friendly and fuel-efficient. These cars are also known as hatchbacks due to their design. They are smaller in size, compared to Segment C and D cars, and are ideal for city driving.

Skoda has already announced that its compact SUV would be built on the same MQB-A0-IN platform that also underpins its Kushaq SUV and Slavia sedan. Incidentally, this was the first platform developed outside of Europe and tailor-made for the Indian market.

“Skoda’s pricing will be benchmarked against Maruti Suzuki Brezza, Hyundai Venue, Tata Nexon, Kia Sonet, etc. However, it is unlikely to get into entry-level SUVs like Tata Punch and Hyundai Exter as techno-commercial feasibility doesn’t permit that. Having said that, it will be the company’s most-affordable SUV in the world,” another source, requesting anonymity, told Moneycontrol.

A Skoda Auto India spokesperson declined comment.

“Skoda's entry into the sub-compact SUV segment will enable them to reach the masses and target aspirational customers who want to own European brands. This model will also help them in developing competitive price products as they may fall in the lower GST slab,” said Puneet Gupta, Director of S&P Automotive.

The Czech carmaker, which is a subsidiary of German automotive manufacturing company Volkswagen Group, recently announced ambitious plans to double its sales in India by 2026, with the launch of its affordably priced compact SUV next year.

As part of its broader plan for the India market, the company aims to sell 100,000 cars in 2026, more than twice that it sold in 2023.

“India is crucial to the global growth of Škoda Auto, both because of its market strength and as a development and manufacturing base for our expansion in new markets, including ASEAN and the Middle East,” said Skoda Auto CEO Klauss Zellmer in a recent statement.

He also said that India is the most promising growth market for Skoda Auto globally and the country will play a crucial role in the company's international expansion.

As per the auto industry data, the total number of B-segment SUVs sold in the Indian market during FY 2022-23 were roughly 15,13,000 units.  The numbers have already surged to 19,40,000 during the April 2023-February 2024 period of the current fiscal.