Audi India will start local assembly of its 2.0 litre diesel engine by the end of this year, two independent sources told CNBC-TV18. The Volkswagen Group has also confirmed this development.
The Volkswagen Group, parent of the Audi, Skoda and Volkswagen brands, will assemble the engine at the company's diesel engine assembly plant in Chakan near Pune. The second phase of the plant was inaugurated in January 2015.
Audi currently imports engines, gearbox and transmissions, which are then assembled in India.