Skoda Auto India, one of the leading passenger vehicle manufacturers, has taken the wraps of the all-new Skoda Kylaq, the company’s third model developed locally for the Indian market. With prices starting at INR 789,000, this is the most affordable Skoda car currently available in the market.

This also marks the Czech brand’s first model in the popular sub-4-metre segment, which at present accounts for nearly 50 percent of sales in the Indian car market. The Kylaq C-SUV is the first model in India to feature Skoda’s new Modern Solid design language.

Klaus Zellmer, CEO, Skoda Auto, said, “The Skoda Kylaq is our first sub-4-metre SUV, designed in India and for India as a new entry point to our brand. India is key to our internationalisation plans, the world’s third-largest car market, and SUVs make up 50 percent of new vehicle sales. We want the Kylaq to welcome new customers who are looking in this popular and fast-growing segment. Adding to its appeal, the Kylaq marks the debut in India of our Modern Solid design language, with new visual accents.”

The Kylaq features 189mm of ground clearance, is 3,995mm long, 1,783mm wide and is 1,619mm tall with a 2,566mm wheelbase.

The 1.0 TSI engine produces 178Nm of torque and delivers 85 kW of power. The compact SUV can be had with a six-speed manual or automatic transmission. It has a claimed top speed of 188kmph and can go from zero to 100kph in 10.5 seconds.

Johannes Neft, Skoda Auto Board Member for Technical Development, said, “The Skoda Kylaq is our third offering based on the MQB-A0-IN platform, developed by our teams in India with comprehensive support by our colleagues in the Czech Republic for Indian customers. From the outset, this platform was designed to accommodate a sub-4-metre car like the Kylaq. This SUV is built on four key pillars: comfort, quality, global design language, and safety. That’s why the Kylaq has been rigorously tested across varied terrains, altitudes, and weather conditions. It will lead our presence in India’s fastest-growing and most competitive segment.”

The Kylaq gets over 25 active and passive safety features as standard including six airbags, multi-collision brake, roll over protection, motor slip regulation, electronic differential lock, XDS+, anti-lock brakes, electronic brake force distribution, and electronic stability control, among others. Select variants come equipped with over 35 safety features, such as cornering lights, automatic headlights and wipers, Hill Hold Control, and tyre pressure monitoring system (TPMS).

In terms of space, the five-seater compact SUV has 446 litres of storage, which can be expanded to 1,265 litres with the rear seats folded.

On the inside, it features 10.1-inch infotainment display, which gets Android Auto and Apple CarPlay along with wireless charging support. The driver also gets a 8-inch digital cockpit that provides plenty of information.

Skoda India claims that the Kylaq has been tested for more than 800,000km of Indian terrain, including altitude test, temperature test and rigorous weather and water testing.

Piyush Arora, MD and CEO, Skoda Auto Volkswagen India, said, “Today is another important milestone in our India journey with the World Premiere of the Skoda Kylaq. Kylaq has generated tremendous excitement and buzz through 2024. And I’m extremely proud to unveil the Skoda Kylaq to India and to the world. With its high levels of localisation, unmatched driving dynamics and uncompromising safety, Kylaq will make a significant impact in the market.”

Oliver Stefani, Head of Skoda Design, said, “With the new Kylaq, our Skoda Design team has preserved and re-interpreted key Skoda design elements, combining them with new ideas and visual accents. It is one of the hallmarks of our new Modern Solid design language, ushering in a new era for design in a car that ushers in a New Era for us in India. Modern solid stands for solidity, functionality and authenticity while conveying a sense of safety and strength. The Skoda Kylaq, with its distinctive shape, minimalist and clean looks and functional features like a high ground clearance is a perfect embodiment of our new design approach to customers in India.”

Petr Janeba, Brand Director, Skoda Auto India, shared, “The Kylaq has literally hit the ground running and is going to be powering our growth in India over the next few years. It is the beginning of a new era for us in India. We are aware we are entering what is currently the most competitive segment in India. And are confident the Kylaq has what it takes to make an impact with its safety and driving dynamics. Moreover, the Kylaq boasts some segment-leading features like a six-way front electric seat adjustment with seat ventilation, and a class-leading 446 litres of boot space. The Kylaq continues with our India-focussed product line-up following the Kushaq and Slavia and will further our goal of entering newer markets and bringing new customers into the Skoda family. We believe we have stuck to our promise of accessible pricing of the Kylaq and look forward to ensure it democratises European technology in India. It is a compact car but is larger than life. And that’s the reason we premiere it via a motion picture premiere like never before.”

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ICRA, one of the leading rating agencies, anticipates wholesale volume growth for the passenger vehicle industry to reach 4-6 percent in FY2027, as the market balances sustained demand against a high base from the previous year and uncertainties regarding monsoon performance.

In March 2026, industry wholesale volumes increased by 16 percent to 440,000 units, while retail sales grew by 21 percent over the same period. This activity followed the implementation of revised Goods and Services Tax (GST) rates and the introduction of new vehicle models.

For FY2026, wholesale volumes reached 4.7 million units, representing an 8.6 percent increase on the year, while retail volumes rose by 11 percent to 4.6 million units.

ICRA states that inventory levels reported by the Federation of Automobile Dealers Association (FADA) fell to 28 days by March 2026, down from 60 days in September 2025. This reduction resulted from the increase in retail offtake.

Within the passenger vehicle segment, utility vehicles represented 68 percent of volume in FY2026. Models in mini, compact and super-compact segments experienced recovery following tax changes.

Export volumes grew by 18 percent in FY2026. Maruti Suzuki India retained its position as the exporter with a 49 percent market share, followed by Hyundai Motor India.

Looking ahead, the passenger vehicle sector expects the utility vehicle segment to provide the volume, alongside an increase in demand for passenger cars. Factors such as the West Asia crisis and inflation levels remain indicators for future demand.

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Mercedes-Benz India has officially launched the all-new CLA BEV, marking the debut of the Mercedes Modular Architecture (MMA) and the proprietary MB.OS (Mercedes-Benz Operating System) in the Indian market.

The launch represents a significant milestone in the brand's electrification roadmap, with the company claiming it recorded over 400 pre-launch bookings prior to the official announcement.

The CLA BEV is introduced in three distinct variants, headlined by an 800-volt architecture that allows for industry-leading charging speeds.

Performance and Charging

Built as a ‘born electric’ sedan, the CLA BEV sets a new benchmark for efficiency with a drag coefficient of 0.21.

• Ultra-Fast Charging: Supporting up to 320 kW DC charging, the CLA 250+ can add 400 km of range in just 20 minutes using a 240 kW charger.
• Powertrain: The CLA 250+ delivers a peak output of 200 kW, achieving 0–100 km/h in 6.7 seconds powered by an 85.5 kWh battery.
• Indian Adaptation: The vehicle’s suspension has been specifically tuned to handle Indian road conditions.

The CLA is the first vehicle in India to feature MB.OS, which integrates the 4th generation of MBUX.

The EV sees integrated AI, which is powered by NVIDIA chips capable of 508 trillion operations per second, the car features a virtual assistant integrated with ChatGPT-4, MS Bing and Gemini.

The CLA BEV supports seamless Over-the-Air (OTA) updates and comes standard with Level 2 ADAS, upgradeable to L2+ via software. High-end variants feature the MBUX Superscreen and a panoramic sunroof with a 250-nanometre ‘Heat Protection Coating’ to filter UV and glare.

In a move to build customer trust, Mercedes-Benz launched India’s first ‘High-Voltage Battery Report’. This system-generated report provides owners with a physical and diagnostic evaluation of the battery's health (State of Charge Energy - SOCE), ensuring transparency for future resale and long-term ownership.

Santosh Iyer, Managing Director & CEO, Mercedes-Benz India, said, “The CLA BEV is the most intelligent Mercedes-Benz ever; born electric, a true range champion and a hallmark of high product substance. As Mercedes-Benz’s first next-generation BEV to debut in India, the CLA underlines our confident BEV strategy shaped by feature-rich, technology-driven products.”

Mercedes-Benz is backing the launch with a comprehensive ecosystem, including the MB.CHARGE public network, which now covers over 9,000 charging points across India. Ownership is further simplified through Star Agility+ financing, offering a 59% assured buy-back value and EMIs starting at INR 62,000. All models come with an 8-year/160,000 km battery warranty. Deliveries for the CLA 250+ begin at the end of April 2026, while the CLA 200 will follow in June 2026.

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Chinese automotive major Chery has officially launched its new global value proposition, ‘For Family’, marking a strategic transition from a ‘Global Brand’ to a ‘Global Citizen’ at Auto China 2026.

During the event, the company announced an ambitious target to serve 10 million customers worldwide by 2030. The new slogan and strategic roadmap were unveiled by Jeff Zhang, CEO of the Chery Brand, who emphasised that the shift is rooted in providing ‘trusted quality and thoughtful technology’ for household mobility.

The new proposition is built upon three core ‘equalities’ designed to make premium automotive features accessible to a broader demographic:

• Uncompromising Safety: Prioritising high-standard safety features for every passenger, regardless of vehicle segment.
• Space Equality: Optimising interior dimensions to ensure maximum comfort and utility for all family members.
• Technology Equality: Bringing advanced smart features and connectivity to mass-market models.

As a concrete implementation of this new philosophy, Chery debuted the Tiggo V at the exhibition. The vehicle is designed to showcase the ‘For Family’ pillars, offering enhanced cabin flexibility and integrated smart safety systems tailored for multi-generational use.

Chery’s expansion is supported by a significant global footprint established over 23 years. Currently, the brand serves 4.5 million customers across 120 countries. Its ‘In somewhere, For somewhere’ localised philosophy is powered by:

• 8 R&D centres and 36 production bases worldwide.
• A network of over 2,000 dealers and 1,800 service centres.
• The Chery Family Care service brand, which provides dedicated aftersales support.

Jeff Zhang, said, "For Family is not just a slogan; it is a promise that we safeguard the peace of mind and joy on every journey, through trusted quality and thoughtful technology."

This announcement follows a year of rapid growth for the brand, which now sees a new family join its user base every minute on average. By focusing on the ‘Global Citizen’ model, Chery aims to achieve mutual prosperity with the local communities where it operates through sustainable and community-focused manufacturing.

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Maruti Suzuki India Limited recorded its highest-ever annual production volume, reaching 2.34 million units during fiscal year 2025-26. This achievement establishes the automaker as the only original equipment manufacturer in India to attain such a production milestone for passenger vehicles. Furthermore, among all of Suzuki Motor Corporation’s global automobile manufacturing facilities, Maruti Suzuki stands alone in reaching this landmark volume.

The company currently operates four manufacturing plants located in Gurugram, Manesar, Kharkhoda in Haryana and Hansalpur in Gujarat, with a combined installed annual capacity of 2.40 million units. In March 2026, as part of its capacity expansion strategy, Maruti Suzuki identified land for a fifth manufacturing facility at the Khoraj Industrial Estate in Sanand, Gujarat. Once fully operational, this new plant is expected to add an annual production capacity of one million units. The most produced models during the year included the Dzire, Fronx, Swift, Ertiga and Baleno, each surpassing the 200,000-unit mark.

The company manufactures 17 models with over 650 variants to meet both domestic and export market requirements. This record production volume underscores Maruti Suzuki’s dominant position in India’s passenger vehicle segment and its unique standing within the global Suzuki manufacturing network.

Hisashi Takeuchi, Managing Director & CEO, Maruti Suzuki India Limited, said, “This is a proud moment for us, as very few companies across the world have been able to manufacture such large volumes in a single country. At Maruti Suzuki, we have always believed in offering products and technologies that complement the evolving needs and aspirations of our customers, earning their trust, generation after generation. This achievement is the outcome of a carefully nurtured automobile ecosystem built over four and a half decades. At its foundation lies the mutual trust and longstanding collaboration that we share with our employees, vendor and dealer partners. This ecosystem supported by the current government’s policy environment, like the rollout of GST 2.0, strengthened market confidence and stimulated demand at a critical time allowing us to manufacture record-high units.”

He added, “Our parent company, Suzuki Motor Corporation’s strong belief in India’s growth story, along with an increased focus on developing India as an export hub, is enabling us to further expand our production capacity. We aim to scale it to about four million units per annum.”

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