Audi R8 V10 Plus
Audi R8 V10 Plus being displayed at Auto Expo 2016Audi India

Volkswagen Group brands, including Audi and Skoda, are reportedly not too keen to participate in India's premier auto show next year -- Auto Expo 2018. The biennial automobile show will be held in Uttar Pradesh in February 2018.

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The German auto giant and sub-brands are reportedly pulling out of the auto show over concerns on return on investments and effectiveness of participation. "The Volkswagen Group has taken a decision for not participating in the forthcoming Auto Expo 2018," the Times of India quoted Thierry Lespiaucq, MD of Volkswagen Group sales India as saying. "We have enjoyed participating at the expo in the past and hope to be back in 2020 (on the) basis of our brand promotion strategy," he added.

The Volkswagen brand's reputation has been under scanner since the emissions scandal in September 2015. The company is supposed to pay a $2.8 billion criminal fine for rigging diesel-powered vehicles to cheat on government emissions tests in the US alone.

Volkswagen is sorting the issues associated with the scam around the world. The company has also been forced to withdraw from many programs and auto shows to save money for the hefty fines. Withdrawal from Auto Expo 2018 also looks like a part of this cost-cutting strategy.

General Motors is another auto giant not joining the show. The American car maker recently pulled the plug on the Chevrolet brand in India citing concerns on return on investments. The TOI report also says Nissan, Royal Enfield, Bajaj Auto and Ford may also skip Auto Expo 2018.

Skoda Superb
Skoda SuperbSkoda

While the absence of some key players will surely be a disappointment, new brands such as Korean Kia, China's SAIC and France's Peugeot will participate in the show next year.

The 13th edition of the Auto Expo held in 2016 had seen companies like Bajaj Auto, Royal Enfield and Harley Davidson not being exhibitors. Force Motors, Jeep, DSK Benelli and Indian Motorcycle were the key new players there.

Auto Expo is organized by SIAM (Society of Indian Automobile Manufacturers) along with ACMA (Automotive Component Manufacturers association) and CII (Confederation of Indian Industry). Auto Expo 2016 had recorded a footfall of over 6 lakh, as against 5.6 lakh in Auto Expo 2014.