Report - Audi India to use CKD route for A3 sedan from start

Talking to Economic Times, Audi's board member and global sales and marketing head, Luca de Meo, has provided some new information on the Audi A3 sedan that is to launch in India this year.

Showcased at the 2014 Auto Expo, the Audi A3 sedan has been earmarked for a mid-2014 launch. The company's newly appointed head Joe King, expects it to become India's best selling luxury car, hinting at an aggressive price.

Luca de Meo told ET that the A3 sedan would be brought to India in the parts and components setup (or CKD setup). With all earlier launches, including the Q3, Audi started with the CBU route before moving to assembly. A CKD product attracts less tariff, though Audi have on previous instances adjusted the price on CBU products to match CKD prices.

He said plants in Brazil, Mexico and Hungary are coming up but a full-fledged manufacturing plant is not planned in India. The A3 sedan is made at Audi's plant in Gyor, Hungary for worldwide consumption, while a plant in Foshan, China, will manufacture it for the local market.

Earlier King said the A3 sedan will sandwich between compact luxury hatchbacks (1 Series and A Class) and the luxury sedans (3 Series and C Class). He also laid emphasis on expanding the company's dealer network from 31 outlets to 40 outlets to hold on to the leadership position.

Engine specifications are yet to be confirmed, however the model presented at the Auto Expo was a 1.8-liter TFSI variant matched to a 7-speed automatic transmission, which in Europe makes 180 hp and 250 Nm. A 2.0-liter TDI (diesel) engine is also available in Europe which churns out 150 hp and 320 Nm, matched to a six-speed manual gearbox.

[Source - economictimes.indiatimes.com]