There has been a lot of talk about Volkswagen leading the charge (pun unintended) when it comes to electric vehicles (EVs). With a comprehensive line of EVs in development for the global market, the German brand’s strategy towards electrification in India remains unclear.
Yes, the company will be bringing the ID.4 electric SUV to the country later this year, but that will be a fully-imported, CBU model catering to the premium segment. However, plans for the mass market segment remain uncertain. A recent media report reveals VW will be eyeing an entry to India’s mass-market EV space by 2026.
Volkswagen PEAK EV project
The report mentions that Volkswagen Group has finally begun working on localising its electric vehicle with a project codenamed ‘PEAK EV’, which is likely to spawn multiple vehicles starting 2026. This comes after recent talks between VW and Mahindra regarding an EV joint venture did not bear any fruitful results.

Post the unsuccessful discussion, Volkswagen Group’s lead entity in India– Skoda Auto Volkswagen India– has started developing the born EV platform on its own. Internally codenamed MEB21G, Skoda Auto plans to localise this platform for both brands which will spawn multiple models with different body styles. This architecture will be built at the VW Group’s facility in Chakan, Maharashtra.
While this Born Electric platform will underpin several models of different segments and body styles, the German carmaker will primarily focus on SUVs in the entry- and mid-size SUV segment. Details of this project are yet to take a final shape.
Volkswagen electric SUV
The first model under the PEAK EV project is expected to wear a Volkswagen badge followed by a Skoda model based on the same. This is likely to be a compact or subcompact electric SUV where the demand is the highest. Interestingly, previous reports mentioned that Skoda will be launching an ICE-powered subcompact SUV in 2025 in India which will sit below Kushaq. However, VW is unlikely to launch a version of its own in this space.
Volkswagen intends to focus on the battery-powered segment and gain the early mover’s advantage. The company aims to produce a potential 50,000 units per annum— including domestic sales and exports. Volkswagen Group currently offers high-end luxury and performance EVs in India from Audi and Porsche.
Source: Autocar India