Volkswagen nears deal to sell stake in India unit to JSW Group

Volkswagen is reportedly in advanced talks to sell a stake in Skoda Auto Volkswagen India to JSW Group, which is seeking majority control. A deal could add capital and EV-manufacturing support as Volkswagen targets a bigger share of India’s passenger-vehicle market.

— Source publishedTue, 21 Jul, 2026, 17:20 IST·First seen Tue, 21 Jul, 2026, 17:25 IST·Source CNBC-TV18 · Companies

What happened

Volkswagen is in advanced talks to sell a stake in its India unit to JSW Group, potentially giving JSW majority control. The deal could bring fresh capital,

Key facts

  • JSW is seeking a majority stake in Skoda Auto Volkswagen India
  • Volkswagen reduced planned India EV-platform investment to about $700 million from $1 billion
  • Volkswagen Group holds about 2.5% of India's passenger-vehicle market
  • Volkswagen's market-share goal is 5% by the end of the decade
  • Volkswagen has operated in India for more than two decades
  • Talks between JSW and Volkswagen began three years ago

Why this matters

The proposed transaction highlights a strategic route to India growth through a local majority partner, combining Volkswagen technology and brand assets with JSW’s investment capacity and industrial footprint.