The Volkswagen Group will launch its long-anticpated budget brand in 2018, VW Group chairman Martin Winterkorn has confirmed.
Autocar understands that Winterkorn confirmed the news in an interview due to be published on Sunday in German newspaper Bild. In the same interview he confirmed that a successor to the Bugatti Veyron would be built and that it would be sold with a hybrid powertrain.
Initially, the VW Group's budget brand will launch an SUV, saloon and hatchback. All three will be built in China and sold with starting prices ranging from €8-11,000 (£5670-£7800).
"We will introduce a budget car family in 2018 with an SUV, sedan and hatchback,” Winterkorn is understood to tell Bild.
The VW Group has long struggled to meet its internal minimum standards for manufacturing while still meeting the financial constraints imposed by building a budget car to be profitable. As a result, there has been no sound business case for building budget cars or investing in the infrastructure to launch a new brand until now. When it is launched, the brand will be the VW Group's 13th.
Although the cars will initially only be sold in China, other potential markets include India, Latin America, eastern Europe, the Baltic region and Africa. There are no plans to sell the cars elsewhere in Europe at present.
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Can people leave SEAT alone please?
Last year it sold over 40,000 cars in the UK, its best ever and sales are up further this year.
In Germany, Europe's biggest market SEAT is the 9th best selling brand before Toyota, both PSA brands, Hyundai etc...
It seems that SEAT may mean quite a bit to quite a few hundred thousand people, even if not to you.
As for the mk3 Leon being dull, I disagree and sales are up 60 odd percent so far this year in a relatively stagnant European market.
However, I agree Mr "Roverfan" that VW does NOT need another brand!
AndyT wrote: Can people leave
Well said, in my opinion SEAT is the thinking mans brand in the VW group.
AndyT wrote: Can people leave
Couldn't have said it better AndyT. Bang on.
AndyT wrote: Can people leave
Couldn't have said it better AndyT. Bang on.