Skoda may launch cheaper variants of Fabia

Skoda Auto, part of Volkswagen group is expected to roll out cheaper variants of Skoda Fabia intending to change the market positioning of the compact car. Skoda is applying a top-down approach for its compact SUV, the Skoda Yeti, which will be available in the Indian roads after June 2010 with a 2-litre diesel engine and next year Yeti will come with a smaller engine. There is also possibility that its petrol version will come later. It is expected that the Czech car brand will reduce some features of Fabia to reduce its price and will come out with a new Bharat Stage IV compliant engine.

Reinhard Fleger, member of the board, Skoda Auto said that they were internally discussing the issue to find a positioning and react to the Polo and would consider launching the Fabia as a base model. However, company officials were definite that they would not interfere with the Skoda brand DNA and would not reposition the entire range; rather Skoda would launch new models across the range. The company reported that there is enough room for the Passat and the Jetta (VW models) and the Skoda Superb and the Skoda Laura (Skoda). Both the Skoda Fabia and the Polo will have high localisation levels which makes the cars cost competitive, the gains of which will be passed on to the customer.

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