[TusharK]

The Porsche Cayenne could be assembled in India in the near future as it is something the German carmaker is currently exploring. According to a media report, Porsche AG board members Detlev von Platen, Executive Board for Sales and Marketing and Matthias Becker, Vice President of Region Overseas and Emerging Markets, are in Delhi to discuss the matter with senior government officials.



It is said that Porsche is examining the possibilities of assembling the Cayenne locally to avail of tax benefits and expand its footprint in the premium luxury SUV segment. Currently, the SUV is imported as a completely built unit (CBU).

The government imposes 100% import duty on cars with cost, insurance and freight value of more than US$ 40,000. In comparison, the customs duty on CKD kits that are assembled in India is just 15-35%.

Meanwhile, Porsche sales grew by 64% in 2022. The carmaker sold 779 units, with the Cayenne reportedly accounting for almost half of it.

Source: ET Auto

Link to Team-BHP news

[GTO]

This is just fantastic news . Will lead to far better pricing. Porsche has the brand, practicality (SUVs), reliability & might of the VW-Skoda group behind it. The existing plants can easily be used to assemble the Cayenne. Even Audi has been pushing to include more of its models under CKD (including EVs).

Volvo has some CKD cars, as does Jaguar-Land Rover. That's the only way for these smaller luxury brands to gain market-share in the premium segments.

IMHO, Porsche should CKD the Macan too.

[ergon_9700]

Originally Posted by GTO

This is just fantastic news . Will lead to far better pricing. Porsche has the brand, practicality (SUVs), reliability & might of the VW-Skoda group behind it. The existing plants can easily be used to assemble the Cayenne. Even Audi has been pushing to include more of its models under CKD (including EVs).

Volvo has some CKD cars, as does Jaguar-Land Rover. That's the only way for these smaller luxury brands to gain market-share in the premium segments.

IMHO, Porsche should CKD the Macan too.

This is good news as you rightly said and agree with you regarding the Macan as well. Also this will help them bring more volumes which could lead them bringing new models as well like Cayenne GT (hypothetically saying)

[vishal9999]

Originally Posted by GTO

This is just fantastic news . Will lead to far better pricing. Porsche has the brand, practicality (SUVs), reliability & might of t

IMHO, Porsche should CKD the Macan too.

Exciting developments! Porsche should strongly contemplate incorporating 3-liter engines into the Cayenne and Macan models. This strategic move would provide a refreshing departure from the prevalent BMW/Mercedes offerings that have become rather monotonous as of late.

[Turbanator]

Originally Posted by vishal9999

Porsche should strongly contemplate incorporating 3-liter engines into the Cayenne and Macan models

Porsche has no 4-cylinder models for the Cayenne yet

Porsche had manufacturing units only in Germany until 2017, when they moved Cayenne production to Slovakia and now some assembly to Malaysia for Right-hand markets last Year.

https://www.porsche.com/stories/inno...sche-cars-made

I see that Porsche is trying to maximise the use of their Malaysia plant and use VW/ Audi facilities in India to assemble such kits. Or it's also possible that such kits can come directly from Europe or elsewhere to India.

Most of the premium brands in such CKD operations do very little if we talk about local content. Still, as we have seen on certain models and variants, manufacturers can source more locally based on the success, like engines on BMW & Mercedes.

What I will be most interested in is that we may see some fixed optional packs from Porsche as against À la carte, which comes at super expensive prices.

[shankar.balan]

This is a good development indeed.
If they could also consider assembling the 718 boxster and cayman here then there will be lots of takers.
Present pricing is just too high, even in the used market.
With the CKD route they can open up their beautiful brand to many more consumers. But those who buy these will still need adequate infra to drive them on. And to an extent as the net widens the ‘snob appeal’ may diminish a bit.

[dragracer567]

This was long due. The already overpriced Cayenne was priced like an exotic car in comparison to competitors like the X5 and GLE which are cheaper as is in other parts of the world but much cheaper in India due to being CKD!

The Range Rover Sport and the full-size Range Rover have the same issue though the upcoming India-UK FTA might help there.

Porsche already does CKD assembly in Malaysia for the Macan but if I remember correctly, Indonesia as well (but I can't find any links on the latter!)

[DicKy]

Great news!!!

At the same time surprised that Porsche is not made only in Germany. Thought it was an intrinsical part of their brand and what made them stand out from the rest of the VAG brands. Would have guessed USA or China if Porsche wanted to assemble the Cayenne , but Slovakia and Malaysia? Never would have thought so.

But for Porsche to really taste success, they have to assemble the Macan here with standard features and none of the options.

[Sahil]

Finally!! While Porsche is able to charge a premium, I think the volumes can pick up significantly if they start assembling here and bringing the price down.

The Cayanne is the right choice since it’s been just launched as a new generation. The Macan is on its way out.

Assembling here with pre configured kits will also negate the burden of Porsche’s expensive option list. Car would come decently loaded once in CKD form.

Currently the CBU Cayanne is priced at 1.35cr before options, I think Porsche should bring the CKD version at a 10% premium to X5 or GLE which would be a 1cr price.

I hope JLR now wakes up and start planning to assemble their flagship models like the Vogue, Sport and Defender here.

[inwester]

I wish other manufactures did this as well to make luxury "affordable" although I am skeptical this will result in substantial savings for the customer.

Case in point is Lexus ES. This car came in a single variant, priced at 60 lakhs ex-showroom in 2020. Then they made it CKD and that reduced the price to 52-57 lakhs for the 2 variants that were available. However, now they are starting at 63 lakhs and goes up to 70 lakhs ex-showroom. So where are the savings? Lexus also is trying to make the NX based on CKD and expects a 10% savings. So don't count your chickens yet.

Although some manufacturers like Hyundai and Volvo has done better with their CKD pricing.

At the same time, government should reciprocate by making policies (the taxes and duties) a lot more reasonable, so the manufacturers can price their vehicles in a logical manner based on our spending power, while making a decent profit themselves.

[Namit Joshi]

the increase in price is also down to the rising cost of parts, covid, and the annual increase in price that takes place. my friend also bought the CBU unit for around 60 (showroom unit). but in three years an increase in price is expected. X5 starts at 95 now. the pre-LCI was launched at 72.9 lakhs

[el lobo 6061]

Originally Posted by Sahil

The cayanne is the right choice since it’s been just launched as a new generation.

Its not a new generation. But a facelift to 3rd Gen Cayenne launched in 2018.

Originally Posted by Sahil

The Macan is on it way out.

Both current gen Cayenne 2018 and Macan 2014 will continue to sell; since next generation of them are going to be electric only.

So as to offer ICE engines, the older gens will continue to sell alongside.
E.g. Toyota Innova Crysta Diesel and Hycross Hybrid.

It be interesting to see whether Porsche will bring electric Cayenne CKD assembly to India or just move old 3rd gen.

[Shreyfiesta]

Great news! Excellent decision by Porsche I would say. It is impressive that Porsche finds it feasible to locally assemble the Cayenne here with just < 20 units a month. I hope to see excellent pricing once everything is locally assembled.

Point to be noted is that CKD does have its drawbacks, the quality at time does slightly drop. Case in point, the CKD W223 S-Class does not have the rear axle steering and Burmester 4D surround sound system as standard.