Volkswagen has established a new diesel engine assembly line and full-fledged engine testing facility at its plant located in Chakan, Pune.
Volkswagen India has invested 30 million Euro (INR 240 crore) in this first step of engine assembly and production of parts and components at suppliers in India.The company said that the assembly of the new 1.5 litre TDI diesel engine which was designed specifically for the Indian market would commence at the end of 2014.
The company has been working at increasing the level of localisation of models produced at the Pune plant.The new line can assemble over 98,000 engines in a three-shift-system at full capacity. The locally assembled engine will be used in the recently launched new Polo and the Polo GT TDI.
With an initial investment of 580 million Euro and an additional investment of 100 million Euro, the Pune plant is the single largest investment of a German company in India so far.
The facility houses the entire automotive production process, from the press shop, body shop, paint shop and assembly along with an in-house R&D facility. Volkswagen starts engine assembly line in Pune plant | ET Auto