Skoda may soon stop selling their Fabia hatchback for the Indian market. The company is believed to have taken this decision due to the fact that they have been incurring huge losses on the production of each car. According to some reports, the company has been been losing around Rs 1.5 lakh on each Fabia sold and the main problem they have been facing with the vehicle is the level of localisation in the production process.
It is believed that Skoda will continue to sell the car till they run out of stock in a bid to clear their inventory before discontinuing the car. The company had been offering heavy discounts previously to increase the demand for the car but the sales never picked up.
Instead, the car’s price tag went down by almost 40 per cent since its launch in 2008. Skoda sold a total of 3343 units in the period 2012-2013 and managed to sell just 115 units of the Fabia last month.
Source: AutocarIndia
