New Delhi, Oct. 24 -- Volkswagen AG is halting investments in an electric-vehicle program for India until it has greater clarity on a potential partnership with billionaire Sajjan Jindal's JSW Group.

The German company has completed design work that would allow it to quickly ramp up the project using a low-cost EV architecture initially developed for China when its discussions with the Indian partner close, said people familiar with the matter who were not authorized to speak publicly about it. But it's awaiting a clearer business plan before committing more money to the project, they said.

Representatives for Volkswagen Group and the JSW respectively didn't reply to separate requests for comment.

The pause comes as the carmaker pursue...