 Skoda's Compact SUV Plans Revealed Feb 27

• Skoda Auto, part of Volkswagen Group's 'India 2.0' project, is set to enter the compact SUV segment in India.

The compact SUV, 'India 2.5', will be Skoda's first sub-4-metre model since the Fabia, discontinued in 2013.

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The SUV will be a shortened sibling of the Kushaq and based on the same MQB-A0 (IN) platform as the Slavia and VW brand equivalents, the Taigun and Virtus.

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The compact SUV will enjoy the lower 28 percent GST slab, a tax benefit for'small cars' under 4 meters and petrol engines less than 1.2 litres.

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The compact SUV is expected to reach showrooms around March 2025, three years after the Slavia, Skoda's last mass-market product.

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Skoda will proceed with the project without Volkswagen, which will not have a similar compact SUV.

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The commonality of parts with the India 2.0 cars and a strong export focus will give Skoda the critical volumes and scale to make 'India 2.5' viable.

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Skoda Auto expects a potential annual volume of over 90,000 units to serve both domestic and export markets.

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