Audi begins local assembly of Q7, will slash prices

Audi India has begun local assembly of its luxury SUV the Q7, at its plant in Aurangabad. The company plans to build up to 1,000 units of the Q7 at this plant in Maharashtra for the Indian market. This is the fourth model of Audi to be locally assembled after the Audi A4, Audi A6 and Audi Q5.

Audi begins local assembly of Q7, will slash prices

So far the Audi Q7 was being imported as a fully built unit for Indian buyers. The Audi Q7 is priced at between Rs. 56 lakh and Rs. 67 lakh, ex-showroom Delhi. Local assembly will reduce duty on the SUV to just 30%, which would mean Audi can now reduce the price on the final product by between Rs. 6 lakh to Rs. 10 lakh, depending on the model. Also read: Audi launches Q3 in India at Rs. 26 lakh

This would make the Audi Q7 even more competitive with other SUVs such as the popular BMW X5, which is priced from Rs. 53 lakh upward. Reducing prices on the Q7 would take it below the Volkswagen Touareg and the Volvo XC90, making the Audi Q7 an attractive buy, at a starting price point of about Rs. 48 lakh. It will also mean that customers will have a lower waiting period, as the vehicle won’t be dependent on batch imports.

At over 5 meters in length, the Audi Q7 is a huge SUV, but does a good job of hiding its size. It can seat seven people and comes with a 4.2 litre 8-cylinder diesel engine that puts out 338 bhp of power and 760 Nm of torque. It has a six-speed automatic transmission with an on-demand all-wheel drive system patented by Audi (the Quattro system).

Audi has seen its sales growing substantially in India last year. It clocked a 55% growth in overall sales, selling 7273 vehicles so far this year, surpassing the total of 5,511 cars that it sold in 2011. It is now the second-largest luxury carmaker in India, just behind BMW and ahead of Mercedes. Also read: Most expensive SUVs in India

Earlier this year, Audi launched the Q3 SUV to compete with the BMW X1. It is available in two variants – priced at Rs. 27 lakh and Rs. 32 lakh, which Audi is importing in batches. The first lot of 500 vehicles was of the higher variant and has been sold out. The second lot, which should include the base variant, will be delivered to customers over the next three months. The Q3 is also slated to local assembly in a few months.