Skoda VW expands Pune R&D to boost India engineering, global projects
Autocar Professional, 1 May '26
Skoda Auto Volkswagen India Private Limited (SAVWIPL) is expanding its India operations through the growth of its research and development presence in Pune, with the objective of strengthening local engineering capabilities and supporting global product development.
The company has inaugurated a new wing at its Technology Centre Pune (TCP) in Baner, positioning the facility as part of the Volkswagen Group global innovation network. Designed to accommodate more than 250 engineers, the centre will focus on advanced vehicle development, platform engineering, software development, and sustainable mobility solutions.
"For utilising the Indian ecosystem to the maximum possible potential, there are three aspects to addressing that. The first is product development; quality and quality process support have to be there, and then manufacturing. Good manufacturing capabilities have been established over the last two decades, along with well-developed processes in factories and supplier networks. The area currently in focus is product development, and the next stage of localisation, as well as adaptation to Indian products, will come through a greater emphasis on India-engineered options," Piyush Arora, Managing Director and CEO of SAVWIPL, told media sources.
He further added that the company is scaling up its technical centres and plans to gradually increase engineering capacity from 400 to 700 employees to meet this requirement. "A new office has recently been started in Pune, and the group's support for this initiative is acknowledged. This will help develop competencies in India, enabling product development for the domestic market and, in the future, supporting global programmes," he stated.
The Baner facility complements SAVWIPL's existing engineering base in Chakan. The expansion aligns with the company's broader strategy of manufacturing in India not only for the domestic market but also for global applications. The development represents the next phase of localisation, with increased emphasis on India-led engineering.
Since its establishment in 2019, the Technology Centre Pune in Chakan has contributed to the development of India-specific models, including the Volkswagen Taigun and Skoda Kushaq, as well as the sub-4-metre SUV, the Skoda Kylaq.
With the latest expansion, SAVWIPL is also increasing work in areas such as connected technologies, electrification, and cost-efficient engineering. The development reflects a broader effort to strengthen local talent and infrastructure, while positioning India as a strategic hub for both domestic innovation and global product development within the Volkswagen Group.