Dacia has been a successful budget arm for Renault, and the French company’s alliance partner Nissan has relaunched the Datsun name as a low-cost brand for emerging markets, with the cars to be revealed later this year. Looks like Volkswagen is about to get into the no-frills act as well, with China as base, although it’s not decided yet whether a new brand will be created.
Why China? The world’s biggest auto market sees over three million budget cars sold every year, making it a huge domestic market for the new venture. VW could team up with one of its two Chinese joint venture partners (SAIC and FAW) if the project is approved, development chief Ulrich Hackenberg told Reuters. “That’s an issue we’re currently looking at,” he said.
Volkswagen is looking at a price range of between $6,700 to $13,500 (RM20,582 to RM41,471) for the cars, which may include a minivan, station wagon and a small sedan, company sources said last October. The cars would be aimed at high-growth markets like Brazil, Russia, India and China, but may also be sold in Europe, according to German media reports.
VW CEO Martin Winterkorn said at the recent Detroit motor show that a decision on a budget car for emerging markets would be made this year. The company is calculating cost targets for the car and has not decided yet on branding.
“If one enters this segment for the first time, it’s necessary to keep investments very low,” Hackenberg said. VW would use underpinnings from models that are out of production or near the end of production, rather than develop costly new components, he added.
Looking to sell your car? Sell it with Carro.
Eh IF reach our beloved country malaysia can get RM 20K~40K? MIMPI LA….
It won’t be Proton because Dr M is too proud to surrender control of Proton to VW.
Volkswagen and China just reminds me of the second-gen Scirocco from The Karate kid that Jackie Chan has. And GOOD NEWS! the Dacia Sandero is now on sale in Britain….lol
By the time it reaches malaysian shores, it will be 70k-80k with all those taxes and excise duties. In conclusion, doesn’t matter to us.
I rather think the government won’t allow them to bring in the cars. Priced too low, would compete with Proton (which is able to produce cars at insanely low costs). Really Proton should start selling cars overseas. Especially the Preve. A comparable Kia cee’d is around 18k Euro, where the Preve CFE, including taxes, is around 11k. Set aside some money for dealerships, warranty (7 years) and keeping stocks of spare parts and there is still money left for nice profits, while still being cheaper than the Koreans and Skoda. Only Dacia offers more car for the money, but really it is a Vios spec car then. Empty, with ancient technology and a disregard for safety.
Thank god they are not repurposing Skoda for this, because that would mean we would loose all the brilliant and affordable Skodas for something that is a bit cheaper.
How about Proton re-introducing the Wira/Savvy to third world countries? No airbags, No aircon, as long as there’s 4 seats, a radio, that’s all. And make the metal sheet thinner too. Life is cheap there.
Don’t daydream. If Proton could produce cars at insanely low costs, why haven’t we as Malaysians seen the cheap Protons or even Proton been able to import their cars into India or something?
dont be silly, proton do produce car at lower cost but even local car has excise duty & sales tax that mark up almost 50% of the original price of the car.
if VW brings in their budget cars here in M’sia, many will buy it an drive the cars as if it is an expensive car with the show-off face just like the modified ah beng dugong with blink blink lights.
is proton missing sth….look at the proton’s local market is being squeezed by perodua & non-national cars…it could be lifeline if vw is on board in developing low cost segment…as proton tanjung malim plant is undercapacity…but vw is looking forward w/ chinese counterparts…shd proton invite vw sincerely to make budget car in msia?
Renault – Dacia
Nissan – Datsun
VW – ? (Proton kot…)
Proton…anyone ?
volkswagen itself means…peasants car…so what can be lower?
VW PLEASE TAKE-AWAY PROTON AND BECOME YOUR BUDGET BRAND
well, VW can introduce their Brazilian-designed Gol and Voyage models as their budget models for international markets. don’t tell me that they want to design more so-called region-specific models again.