Audi Q5 now assembled in India

The latest move taken by Audi shows their emphasis on India. Companies like Hyundai and Nissan with their models have never taken any significant move to import their models as CKD kits and Audi, with the Q5 now shows them the way. Audi has started local assembly of the Rs 40 lakh SUV, the Q5 at its Aurangabad plant and plans to manufacture up to 1,500 units per year.

Hit the jump for more details and press release.

“The production of the Q5 is a part of our long-term growth strategy in India,” Audi Board Member for Production, Frank Dreves, said, adding the Indian market for automobiles would grow very rapidly. “The Q5 is the right automobile at the right time,” he said in a statement. The Q5, along with Q7 garner more sales than all of its competitors put together (competition also includes the X-trail and Pajero but neglect the Fortuner). So, Audi’s mover is logical. So far, Audi has produced 2,000 cars in India and Dreves expects that number to jump to 6,000 by 2015. Q5 now joins the A6 and A4 in the assembly line. Expect prices to drop quite a bit due to reduced excise duty for CKD models.

Press Release

Ingolstadt/Aurangabad, July 7, 2010 – Audi has started assembly of the Q5 model in Aurangabad, in the Indian state of Maharashtra. In the future, up to 1,500 units of the Q5 will run off the assembly line there each year for the Indian market. The sporty SUV is the third Audi model after the A4 and A6 to be produced in India, increasing the production volume of the company with the four rings in India this year to more than 2,400 units, compared with 732 vehicles in the preceding year. Altogether Audi has produced around 2,000 cars in India since the start of production in September 2007. By 2015 up to 6,000 units will be rolling off the line each year.

“The production of the Q5 is part of our long-term growth strategy in India,” says Frank Dreves, Audi Board Member for Production: “The Indian market for automobiles will grow very rapidly, and the Q5 is the right automobile at the right time.” Final assembly of the Audi Q5 takes place in five work cycles on two assembly lines alongside the A4 and A6 at the Volkswagen Group’s Aurangabad plant.

Last year also saw Audi significantly expand its line-up of engines for the models produced at the Aurangabad site: The Audi A6 sedan has been available with a

3.0 TFSI gasoline engine since March 2009, and before then customers could already choose between the 2.8 FSI, the 2.7 TDI and the 3.0 TDI. In July, an entry-level version of the A4 sedan with a 1.8 liter TFSI engine was introduced. It rounds out the previous engine line-up, which for the A4 also includes a 2.0 TDI and a 2.0 TFSI unit. Audi is currently offering the Q5 with a 2.0 TFSI and the 3.0 TDI engines. Further efficient engines will follow shortly.

Audi has been represented in the Indian market for four years now. In the spring of 2007, a separate sales company based in Mumbai was opened to manage all Indian market activities. In addition to the locally produced Q5, A4 and A6 models, Audi also offers its Indian customers the Audi A8, Q7 and TT, as well as the R8 supercar. The entire Audi model range is available across the country: in Gurgaon, Chandigarh, Delhi, Pune, Ahmedabad, Bangalore, Hyderabad, Kochi, Kolkata, Mumbai, Jaipur, Chennai and Ludhiana. Further developments include Mumbai South, Lucknow, Coimbatore, Surat and Indore.