Skoda eyes market share growth with Kylaq, no CNG plans yet: Piyush Arora

Skoda India is all set to introduce its latest sub-compact SUV , the Kylaq , aiming to make a splash in the competitive sub-four-metre SUV market. Set to debut in early November, the Kylaq will be taking on well-established models like the Hyundai Venue , Tata Nexon , Maruti Suzuki Brezza, and Kia Sonet. The new SUV will be built on Skoda's MQB-A0-IN platform and will come with a 1.0-litre, 3-cylinder, turbocharged petrol engine delivering 115 hp and 178 Nm of torque, with transmission options including a 6-speed manual and a 6-speed torque converter automatic. We recently spoke with Piyush Arora , MD & CEO at the Skoda Volkswagen Group in India, about the significance of the Kylaq for Skoda's overall strategy.


When asked about the company's expectations for the Kylaq, Arora said, “Getting into that segment and being able to address a much wider audience is extremely important.” He stressed that while the brand offers a broad portfolio in India, they had yet to tap into the largest market segment, which accounts for almost 30% of the Indian car market and is expected to grow further.

"This will enhance our reach to the Indian customer and also give our existing products an opportunity to scale up," Arora added. He also confirmed that, for now, Skoda’s focus remains on the Indian market , with export opportunities being evaluated later, saying, “We will focus on the Indian market to meet expectations, and we do believe that we have good potential for this car in the Indian market.”

The conversation also touched on the lack of a CNG variant at launch, an option offered by competitors like Maruti and Tata. Addressing this, he said, “The time when we were doing the evaluation... more fleet operators were utilizing CNG,” adding that Skoda would continue to evaluate this powertrain based on evolving demand. However, he did note, “We believe 1.0 TSI is a good fit for this kind of product.”


When asked whether CNG or hybrid technology would take priority, Arora explained, “I wouldn’t give it a priority... We are evaluating both and will see the best fit for us and our brand image.” Regarding electric vehicles , the company is actively participating in discussions with the Indian government about local manufacturing. He also shared aspirations that by 2030, “We should have both our global products as well as local products (EVs) available in the Indian market.”

Arora said, “India’s story will continue with both ICE and BEV, and we aim to bring both to the market.” He added that Skoda is focused on expanding its offerings to gain market share , whether through partnerships or independently, responding to talks of Mahindra acquiring a stake in Skoda India.

When discussing potential areas for improvement over the next five to six years, he highlighted the need for faster product introduction. “We do realize that post 2.0 launch, which had a very good start, our second phase of product introductions has not been at the pace at which the competition is doing in the Indian market,” he said. Shortening development cycles, bringing more products, and speeding up life cycle upgrades are key areas Skoda is focusing on.