Volkswagen may introduce its SEAT brand of vehicles in the Indian market to drive volumes in the A-segment and entry-level B-segment where it currently does not have a presence. This will be the final car brand from the German automaker’s stable to enter the Indian market (if it does come) since it began operations in 2001.
SEAT which is short for Sociedad Espanola de Automoviles de Turismo (Spanish Touring Car Company) was founded in 1950 and is one of the only few manufacturers to be based entirely out of Spain. It produces rebadged models of VW cars but is also one of the major strengths when it comes to R&D for the German manufacturer.
A report from Financial Express suggests that the Spanish manufacturer is already in the country and is currently working on a feasibility report. It aims to enter the Indian market in the next 3-4 years, a step believed to be a part of its global strategy as it is looking to go beyond its traditional European markets where it is facing little success.
The two models which are expected to lead SEAT’s charge in India will be the Mii and Ibiza, both of which are small hatchbacks and will be launched in India in the five-door guise. If the Mii does make its way here then there is a possibility for the Up! and Citigo to also be launched here. It is expected that the cars will be produced with a high level of localisation in a bid to keep the costs down and consequently price them competitively.
We expect that VW will position SEAT in a such manner that it does not affect the sales of its models as well as those of Skoda.