JSW Group is in advanced discussions to acquire a stake in Skoda Auto Volkswagen India Pvt. Ltd., a move that could give the Sajjan Jindal-led conglomerate a majority holding in Volkswagen AG’s India passenger vehicle business, according to a Bloomberg report.
The proposed investment is expected to inject fresh capital into Skoda Auto Volkswagen India, which manages the group’s Skoda and Volkswagen brands as well as luxury marques including Audi, Porsche, Lamborghini and Bentley in the country. While both parties are reportedly aiming to finalise an agreement in the coming weeks, the terms of the deal are still under negotiation and there is no certainty that a transaction will be completed.
Responding to the report, a Volkswagen spokesperson declined to comment on the discussions, stating only that the company regularly evaluates opportunities to support its strategy in India’s passenger vehicle market.
If the transaction goes through, it would mark JSW Group’s second major investment in India’s passenger vehicle sector after acquiring a 35 per cent stake in MG Motor India from SAIC in 2023. The joint venture, JSW MG Motor India, commenced operations in 2024.
According to the Federation of Automobile Dealers Associations (FADA), Skoda Auto Volkswagen India accounted for 2.34 per cent of India’s passenger vehicle market in FY2026, while JSW MG Motor India held a 1.40 per cent share. By comparison, Kia India recorded a market share of 5.94 per cent during the same period.
The report noted that India continues to be a strategic market for Volkswagen as the German automaker seeks to strengthen its presence outside Europe amid its withdrawal from Russia and planned exit from China.