Volkswagen Invests 720 Crores On India Spec Compact Sedan

German carmaker Volkswagen has invested Rs. 720 crores (85 million euros) on an India-spec compact sedan at its plant in Pune in 2016 and the car will will get onto the production lines in 2016.

The investment is part of the Rs. 1500 crores (176 million euros) the company said in 2014 it would invest in the country and will be used for Research and development as well as new equipment for the production facility as it ramps up production capacity.

The new VW compact sedan will take on the likes of the Maruti-Suzuki Swift Dzire, the Honda Amaze, and Hyundai's Xcent. It will be manufactured at VW's Chakan plant near Pune and will be specifically designed and developed for India.