Volkswagen developing low-cost cars

Volkswagen under Martin Winterkorn’s leadership is currently developing two low-end car platforms in parallel. One is being developed in Brazil, and following the lead of the low cost Renault/Dacia Logan, would be sold first in Brazil and eventually in all emerging markets like India and China. The other is being designed in Germany. Both cars are targetted at an entry price point of 7,000 Euros. As a comparison, the Proton Savvy in the UK is priced at £5,995, or 8,804 Euros, so the new Volkswagens would be priced even cheaper than a Savvy!

Something like this could definitely be used as an Iswara Replacement Model if Proton ever chooses to develop a car based on a Volkswagen platform, however sources through the grape vines have indicated that the Iswara Replacement Model is already being developed without external technology and platform sourcing, and prototypes have already been shown to Malaysian journalists.

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • NiceCar (Member) on Apr 10, 2007 at 3:09 pm

    After the merge, if the management still by P1 ppl, sure they will chooses it to develop a car based this Volkswagen platform to develope cheap car, then they can increase the price and sell to us again..

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  • azrai (Member) on Apr 10, 2007 at 3:55 pm

    Iswara Replacement Model? No wonder they gave huge discount on our golden jubilee of independent for Saga. They gonna failed. Pity our national carmaker. Never listen to what people need and want.

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  • Joe Ooi (Member) on Apr 10, 2007 at 4:03 pm

    Iswara RM – Replace from Milo Tin on the wheel to Tissue Box on the wheel!

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  • BrakeFader (Member) on Apr 10, 2007 at 4:37 pm

    At least I'm confident that for VW, low-cost doesn't necessary mean low-quality. It may be low grade but surely VW has a standard to adhere to. Unfortunately, the same can't be said for Proton.

    Today's news, PM said that he can't wait forever for VW. I'm already getting bored with the foreign partner issue with Proton.

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  • aesthari (Member) on Apr 10, 2007 at 6:41 pm

    Iswara replacement model, no external technology and platform sourcing? Ahahaha, we already know full well where this is heading. Yea, right, the dumps.

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  • 20v_ke35 (Member) on Apr 10, 2007 at 7:45 pm

    "….the Iswara Replacement Model is already being developed without external technology and platform sourcing, and prototypes have already been shown to Malaysian journalists.."

    Any one want to share the pictures???? Come on guys, give Proton a chances..

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  • moby (Member) on Apr 10, 2007 at 8:44 pm

    Give Proton a chance? Then who is giving us, the people of Malaysia, a chance? Its been 10 years, NO. 20+ years and still the same. If I could sue the gov for breaching my rights as a citizen of Malaysia to live a more fulfilling life, I would!

    When I was in my teenage years, I was confident that Malaysia could reach the status of a developed country by 2020. But I lost that faith and now am wondering, whether my children will also be complaining about the same thing.

    Complains after complains. But I am still 'faithful' to my old Iswara!

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  • armandd (Member) on Apr 10, 2007 at 9:45 pm

    any pics of Iswara Replacement paul?

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  • 4G63T DSM (Member) on Apr 10, 2007 at 9:51 pm

    Malaysians will have to wait quite a bit before they are going to see VW technology on Protons (assuming the deal will go though).

    VW or any manufacturer is just not going to get rid of the GEN2, Satria, Savvy any time soon, as substantial investements have alreay been sunk into development of these cars.

    My guess is instead of just making new cars and canibalize inside sales of current models, VW will probably first use the access production capacity to build models for export.

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  • kei9 (Member) on Apr 10, 2007 at 10:01 pm

    paul, do u have some information about the iswara replacement model?

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  • abe (Member) on Apr 10, 2007 at 11:53 pm

    >>> isware replacement model equal savvy sedan

    or

    gen.2 with extended rear boot

    Proton , where is your aluminium chasis MPV ?!!???

    without MPV model from proton

    Proton is going to bancrupt laa..

    proton dealers=proton edar now are allow to sell other brand.. mahu memalukan proton saja. now our pm main tarik tali with VW guys. All this aaa main wayang sahaja maa and Syed zainal just a boneka only ..hahaha

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  • Jeffrey1977 (Member) on Apr 11, 2007 at 1:26 am

    Omg, even German design cars are cheaper than P1. I admit I have to give up liau.

    Use to be Proton supporter. But haiya, what to do. Give up…..

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  • mystvearn (Member) on Apr 11, 2007 at 5:42 am

    When P1 going to surrender to VW? talks and talks going on forever now…

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  • tokmoh (Member) on Apr 11, 2007 at 9:12 pm

    Paul, I don't think it's fair to compare UK n Europe price, cuz Blair oso tax their car a lot compare to other European countries, bt nt as crazy as ours la of course. I realised this when I remember the E-class starts from RM130k (price in Germany), bt when arrive in UK, the cheapest lineup starts from……..definitely above 20k pounds (roughly >RM140k) I suppose.

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  • superman (Member) on Apr 11, 2007 at 11:00 pm

    VW could do with a Base buget car ala Logan. Their in-hse "budget" brand Skoda has steadily gone higher up market than when they took over.

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