Skoda Auto India has clocked its highest-ever half-yearly sales in H1 2025, delivering a record-breaking 36,194 units between January and June 2025. This marks a 134% growth over the same period last year, showcasing Skoda’s growing dominance in the Indian automotive market. The driving force behind this milestone? The newly launched Skoda Kylaq, a subcompact SUV tailored for Indian buyers.
This surge not only cements Skoda’s relevance in India’s competitive SUV segment but also opens the door for the Volkswagen Group to expand its footprint by replicating Kylaq’s success under the VW brand.
Skoda Auto India H1 2025 Sales Overview
- Total sales (Jan–Jun 2025): 36,194 units
- YoY Growth: 134% (up from 15,524 in H1 2024)
- Best H1 performance in Skoda India’s history
- Milestone exceeded: Previous record of 28,899 in H1 2022
- Network Expansion: Over 300 touchpoints in India
Skoda Kylaq: The Star of the Show
The Skoda Kylaq, launched in early 2025, is a sub-4-metre SUV designed specifically for Indian roads and consumer preferences. Built on the MQB-A0 IN platform, the Kylaq combines Skoda’s signature styling and safety features with affordability and compact design.
Key Kylaq Highlights:
- Bookings: Over 10,000 in the first 10 days
- Monthly Sales: 5,327 units in March 2025; ~4,949 units in May
- Engine: 1.0L turbo-petrol mated to 6-speed manual and Torque Converter Auto
- Safety: 6 airbags, ESC, hill-hold, and a strong build, 5 stars in BNCAP
- Price Range: Starting at ₹8.25 lakh (ex-showroom)
Its rapid sales trajectory has helped Skoda dominate the compact SUV segment, competing with the likes of Hyundai Venue, Kia Sonet, Maruti Brezza, and Tata Nexon.
Volkswagen Group: Kylaq Sibling Could Be a Game-Changer
With Skoda reaping the rewards of the Kylaq’s launch, it’s a natural next step for Volkswagen India to introduce its own version of the vehicle. The MQB-A0 IN platform used for Kylaq is already shared with the Volkswagen Virtus and Taigun, meaning much of the engineering groundwork is already in place.
A Volkswagen-badged subcompact SUV, tailored with German design cues and slightly differentiated features, could:
- Expand VW’s reach into the mass-volume compact SUV space
- Share parts, platforms, and service infrastructure
This would be similar to how Virtus and Slavia share core components but target slightly different buyers.
Synergy Between Kylaq & a VW Compact SUV
Launching a VW sibling to Kylaq could replicate this dual-brand strategy in the SUV space:
| Segment | Skoda Model | VW Model Suggestion |
|---|---|---|
| Mid Sedan | Slavia | Virtus |
| Compact SUV | Kylaq | New VW SUV (based on Kylaq) |
| Mid SUV | Kushaq | Taigun |
| Premium SUV | Kodiaq | Tiguan |
This two-pronged approach would not only strengthen VW Group’s market share but also allow better utilization of the shared MQB-A0 IN platform.
A Group-Wide Growth Opportunity
With localized production at Skoda-VW’s Chakan facility, and both brands investing in India 2.0 and Beyond, VW Group can significantly reduce costs, improve delivery timelines, and expand offerings across price points.
Skoda has already committed to growing its retail and service network to 350+ touchpoints by the end of 2025. A Volkswagen Kylaq sibling would benefit from this ecosystem, while allowing the brand to reassert itself against Korean and Japanese rivals.
Conclusion: The Time Is Right for VW Group to Double Down
Skoda’s record-breaking performance in H1 2025, led by the Kylaq, is more than a flash in the pan. It’s proof that well-designed, safety-loaded, and locally adapted products can disrupt even the most competitive segments.
The Virtus continues to thrive in the sedan space—now it’s time for Volkswagen India to leverage this brand strength and enter the compact SUV space with a Kylaq sibling. With shared platforms, rising demand, and expanding dealership networks, the timing couldn’t be better for the VW Group to scale in India.