Skoda, Volkswagen Plan to Introduce 8-speed Automatic Transmission in India by 2026

Skoda Auto Volkswagen India plans to introduce an eight-speed automatic transmission (AT) in its vehicle lineup by 2026. The new gearbox aims to improve performance, fuel efficiency, and driving comfort, catering to the diverse needs of Indian consumers. This move is part of the group’s strategy to offer advanced technology and stay competitive in the growing Indian market. The eight-speed AT is expected to enhance the appeal of Skoda and Volkswagen vehicles, targeting buyers who value convenience and efficiency. By incorporating this transmission, the group continues its focus on aligning with global standards while addressing local preferences.

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Skoda, Volkswagen Cars to Get New 8-speed AT Gearbox

The new eight-speed torque converter automatic transmission is set to debut in 2026 across both brands' India 2.0 models, including the Kushaq, Slavia, Taigun, and Virtus. This new transmission, sourced from Aisin in Japan, will replace the current six-speed automatic (AQ250) that pairs with the 1.0-litre TSI turbo-petrol engine. The update is expected to follow the mid-cycle refresh scheduled for 2025, arriving six to eight months later.

The new AQ300 gearbox promises enhanced efficiency and will be designed to meet the forthcoming Corporate Average Fuel Economy (CAFÉ) III regulations. While the existing six-speed gearbox is also from Aisin, it is not manufactured locally in India. Skoda is exploring the possibility of locally producing the eight-speed unit, though challenges related to low production volumes could impact its viability.

Petr Janeba, Skoda’s brand director for India, outlined the company’s plan to achieve cost efficiencies through economies of scale. Once the new gearbox reaches the necessary production scale, the Czech auto manufacturer aims to involve other automakers in India to help support local manufacturing. To make the case for producing the gearbox locally, Skoda-Volkswagen is hoping that other companies like Maruti-Suzuki and MG Motor India, which currently use the AQ250 gearbox, will also switch to the new AQ300 model.

In addition to our country, Aisin plans to produce the updated gearbox in Brazil, taking advantage of economies of scale to lower production costs. With increasing demand for automatic transmissions worldwide, the added production volume from India could further improve efficiency in manufacturing.

The introduction of the new gearbox is a key part of Skoda-Volkswagen's efforts to comply with India's forthcoming CAFÉ III regulations. The eight-speed transmission, with its more precise gear ratios, ensures smoother transitions and reduces fuel consumption during acceleration and deceleration, leading to better fuel efficiency and lower CO2 emissions, especially in standardised driving conditions.

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Although the exact timing for the AQ300's introduction into India 2.0 models remains uncertain, it is expected to arrive in 2026, rather than alongside the 2025 facelifts. This update will mark a significant advancement for the Skoda-Volkswagen lineup. The transition reflects the company's focus on efficiency and regulatory compliance, as well as the possibility of industry collaboration to localise advanced technologies in the Indian market.

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