Skoda Karoq
Skoda KaroqSkoda

After the memorandum of understanding with Tata Motors fell through, Volkswagen and its subsidiary Skoda are now planning to develop a low-cost platform for emerging markets like India.

Skoda will lead the project for the new platform christened 'Eco,' reports Autocar India. The first model to be underpinned by this platform will be a five-seater SUV by Skoda and it is expected to enter the market by 2020.

The Skoda SUV in Eco platform will be pitted against Hyundai Creta. Volkswagen will individually develop its own SUV but will share the powertrain and other mechanicals with the Skoda SUV, the report adds.

Skoda is expected to use tweaked EA288 2.0-litre diesel engine from Volkswagen group in the new SUV. If that proves infeasible, the company may outsource 2.0-litre diesel engine from another manufacturer altogether, most probably from Fiat.

The report also suggests a mid-size sedan that could replace the VW Vento and Skoda Rapid will be the next model from Eco platform. The sedan is expected in 2021 when current models finish its life cycle.

After both these models, Skoda will work a hatchback model to fill the space left vacant by the withdrawal of the Fabia. However, this won't happen till 2022. But by then, VW would have taken the Polo off the showrooms in India.

Bernhard Maier, Chief Executive Officer, Skoda Auto also said that Skoda India was planning to strongly focus on the SUV segment. The company will launch its flagship SUV, the Kodiaq soon in India. "We will also evaluate the Karoq for the Indian market," the publication quoted Maier as saying. In addition, Skoda India is planning to re-enter to volume segments with a targeted market share of 5 percent after 2025.

Source: ACI