Volkswagen will launch its long-awaited budget brand in China next year, with the first product from the new brand set to be an SUV, according to Autocar. The move was confirmed by Jochem Heizmann, Volkswagen’s board member responsible for China, who told the publication that the first offerings that will be made in partnership with Chinese car maker First Automobile Works (FAW) will “focus on the SUV segment.”
He added that the upcoming brand had not yet been named, but stated that it will not be badged as a VW. Back in 2011, the FAW-Volkswagen JV brand for the Chinese market was reportedly set to be called Kaili, with the sub-brand responsible for developing electric vehicles.
Vehicles from the new brand are slated to be sold in the Chinese market, but the automaker might look at expanding it to other regions such as Latin America, Eastern Europe, Africa, India and the Baltic region, though no timelines for these have been given.
Announcing its 2016 financial results yesterday, the VW Group said that letters of intent have been signed FAW and JAC in China. Last year, Volkswagen sold 4.0 million units in China(including the Hong Kong market), a 12.2% increase over 2015.
Earlier in the week, the automaker had announced that it had signed a MoU with Tata Motors to explore long-term strategic cooperation in India, with vehicle development to be led by VW’s Skoda division.
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Looks like VW likes to Marry/Partner all over the world so that they can be No1 seller in the world. They Marry/Partner Audi, Lambo, Bentley, Bugatti, Porsche, Seat, Skoda & lately Tata & now FAW.
Why Proton did not marry VW ??! john, this is the best opportunity 2 state your claim.
This new budget brand will compete with honda bcoz both are targetting buyers in 3rd world countries looking to buy low cost cars at cheap price…honda – cars for the masses
Ha ha ha. A 3rd world country building low cost cars for its masses & buying up assets in M’sia & around the world by the billions.
I don’t mind being a 3rd world country where its Gov build low cost cars at cheap price for its Rakyat man. Here, we are paying high price for low cost cars.
Not only honda has to compete with low cost cars like tata, dacia, datsun and all those china made cars..now it has to face stiif competition from vw bajet 1china car…lets see whos going to take the throne as mass producer of low cost made for third world countries cars…
partner? mostly makan. skoda and seat were at the verge of bankruptcy. VW came to their rescue. same goes to Lambo, Bentley and Bugatti.
More car brands in already crowded space. People will stick to main stream eventually and they won’t bother if manufacturers do this to survive or expand or for any other reason
Volkswagen = Performance. They are the pioneers in turbocharging technology. Almost all the cars in their lineup are turbocharged and they have been in the forefront of forced induction technology and have the edge over even BMW and Mercedes. Only VW uses turbo stratified injection. Mated to a DSG gearbox, you have lightning fast and super crisp gear shifts which translates to sheer driving pleasure.
oi retard..the japanese and other carmakers have been using turbocharging for years la..the reason almost all cars in their lineup is turbo is because they are emissions cheaters and turbo is the best way to cheat emissions..also ‘stratified’ means nothing..it’s basically marketing speak for direct injection..which was commercialised by Mitsubishi in the 90’s.. Stop being such a retard..
oi Kunta bangang.
Fuel Stratified Injection (FSI) itu ialah direct injection lah. bahalol.
toyota dgn mitsubishi dah lama guna direct injection petrol. dekat 20 tahun. Mitsubishi panggil GDI. Toyota panggil D4 (D4-D utk diesel)