Audi mulls assembly of engines in India

With the market for luxury cars in India growing, Audi is considering the assembly of engines in the country. Local assembly of engines will enable the company to increase the level of localisation in its producst and in turn, keep the prices of its cars competitive.

Audi was at the top of the sales charts of luxury car manufacturers been at the end of 2013 and 2014. The company recorded a growth of 8% and held a market share of 34%. Audi expects the growth to increase to double digits and premium car sales to rise significantly in the future.

Audi is gearing up to make fresh investments in India. With these investments, it plans to ramp up production. The company is also looking at the possibility of assembling engines. The step will help it keep up with its rivals - BMW and Mercedes-Benz. Both these companies have their engines assembled at Force Motors facilities in the country.

Source: ET Auto