Companies have been encouraged by the shift in customer preference towards mid-size SUVs, as evidenced by the resounding success of Hyundai Motor India Ltd and Kia Motors India
Volkswagen AG will enter the segment this year with two SUVs under the Volkswagen and Skoda brands.
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Automakers in India are lining up a slew of mid-size sport-utility vehicles (SUVs) for launch over the next year to score gains in this fast-growing segment that has overshadowed sedan sales for the past few years.
Companies have been encouraged by the shift in customer preference towards mid-size SUVs, as evidenced by the resounding success of Hyundai Motor India Ltd and Kia Motors India.
Volkswagen AG, the world’s largest automaker, will enter the segment this year with two SUVs under the Volkswagen and Skoda brands. Skoda Auto’s Kushaq model is set to go on sale in July, which will be followed by VW’s Taigun, as part of its India 2.0 plan. Both brands will hope to exploit the current demand surge for mid-sized SUVs and grow their small share of the Indian market.
Car market leader Maruti Suzuki India Ltd, along with its alliance partner, Toyota Motor Corp., is expected to enter the segment with a completely new vehicle codenamed YFG in an attempt to recover its lost market share in the segment. China’s SAIC-owned MG Motor will also start selling its first mid-size SUV in India by this year-end.
Meanwhile, Mahindra and Mahindra Ltd—once India’s largest maker of SUVs—is likely to launch the next-generation Scorpio later this year as part of efforts to regain its leadership position through a range of new products.
A senior industry executive said the mid-size SUV segment has a lot of potential since the penetration of such vehicles is now limited to metros and some tier-I cities. In terms of sales volume, the segment is almost as big as that of entry-level SUVs, leading more companies to introduce models.
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