Skoda Auto Volkswagen India Pvt Ltd (SAVWIPL) is expanding its manufacturing plant in Chakan, Pune. 

This facility, located in the MIDC Industrial Area Phase III, received approval from the Maharashtra government in September 2024. 

The expansion aligns with Volkswagen’s “India 2.5” strategy, strengthening local manufacturing and boosting India’s role as a global automobile hub.

The expanded Volkswagen manufacturing plant will require an investment of Rs 15,000 crore, with an estimated construction cost of Rs 13,000 crore. 

Covering an anticipated 2 Million-SqFt, this expansion will focus on sustainable mobility, manufacturing Battery Electric Vehicles (BEVs) and improved internal combustion engine (ICE) vehicles.

Through this initiative, Skoda Volkswagen aims to increase its production capacity for hybrid and electric vehicles while strengthening its presence in India’s EV manufacturing sector. 

The project will also generate approximately 1,000 direct and indirect jobs. This will further support economic growth in the region.