Skoda plans a CNG Kylaq variant to target budget-conscious buyers
Skoda Auto India is evaluating the introduction of a new variant for its popular Kylaq sub-compact SUV, potentially featuring a petrol-CNG bi-fuel powertrain. As the company looks to strengthen its position in one of India’s most competitive vehicle segments, this move aims to attract a broader range of customers by offering a more cost-effective and fuel-efficient option.
The Kylaq, positioned as an affordable premium offering, has become a key model for Skoda in the Indian market. It competes in a segment populated by strong contenders such as the Maruti Brezza, Tata Nexon, Hyundai Venue, Kia Sonet and Mahindra XUV 3XO. Despite fierce competition, Skoda has managed to carve out a space for the Kylaq among price-conscious buyers.
Ashish Gupta, Brand Director of Skoda Auto India, recently indicated that a new variant is in the pipeline. While specifics are still under wraps, Gupta suggested that the addition would likely target the lower end of the product lineup, making the Kylaq more accessible. The new variant could launch by late 2025 or early 2026, with an estimated development timeline of eight to nine months.
The introduction of a petrol-CNG option is under consideration as CNG continues to gain traction in India’s compact SUV segment due to its cost-efficiency and lower emissions. While Skoda has not yet confirmed technical details about the powertrain, the decision aligns with industry trends and rising demand for alternative fuel options.
Interestingly, this development comes at a time when the higher-end variants of the Kylaq are contributing more significantly to overall sales, while demand for the base variants has seen a dip. By adding a CNG-powered version to the entry-level range, Skoda aims to rebalance its sales mix and cater to value-seeking customers.
If implemented, this strategy could enhance the Kylaq’s appeal in urban and semi-urban markets where fuel economy is a key purchase driver.
