VW budget brand for China on track for 2018 launch

VW Taigun Delhi 2014-01

Volkswagen, which ended the first quarter of 2016 as the top-selling carmaker despite “Dieselgate” woes, has confirmed that its budget brand for China is on track for a 2018 launch. VW will be working with current Chinese partner FAW on this, with two SUVs in the pipeline, Autocar reports.

“In China we are working full steam on the budget car with our joint venture with FAW-Volkswagen. We plan for it to be an independent brand there,” CEO Matthias Müller said at the VW Group’s annual results press conference.

No further details, other than the confirmation that the first two cars under this yet to be named brand will be SUVs. A mid-size SUV should be among the duo, while sedan and hatch models should follow, Autocar speculates. Platform-sharing to reduce development costs will be employed, that’s for sure.

VW Cross Coupe GTE-02

There has been talk about VW selling off some of its brands to make up for the potential losses from the ongoing emissions cheating scandal, but the notion was quashed. With this China-only brand in the family (Müller confirmed that it will not be launched in other emerging markets), Wolfsburg will have 13 brands in its stable.

“To my mind I’ve expressed 13 brands is not a weakness but a strength. At these times, we are currently not looking into any such considerations,” said Müller.

The long time leader in the world’s biggest car market was outsold by General Motors last year, and a new brand and two new models in the hot SUV market could be what the doctor ordered. Renault’s Dacia and Nissan’s Datsun, focusing on Europe and Asia/Russia respectively, are the budget brands in today’s market.

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Danny Tan

Danny Tan loves driving as much as he loves a certain herbal meat soup, and sweet engine music as much as drum beats. He has been in the auto industry since 2006, previously filling the pages of two motoring magazines before joining this website. Enjoys detailing the experience more than the technical details.

 

Comments

  • Ugly but I don’t mind. As long as 10 years warranty ada

    Like or Dislike: Thumb up 1 Thumb down 8
  • Budget? Maybe this brand is more suitable for Malaysia. 60k? Haha still in your dreams la

    Like or Dislike: Thumb up 1 Thumb down 4
  • AutoFrenz (the original) on Apr 29, 2016 at 10:32 am

    Suitable for china market…if come to malaysia tokong can pay full price…no need to buy under market value…

    Like or Dislike: Thumb up 4 Thumb down 5
    • Muniandy Periasamy on Apr 29, 2016 at 10:44 am

      Tokong who stole RM2.6 billion can buy 20,000 units of this car!

      Like or Dislike: Thumb up 2 Thumb down 6
  • Muniandy Periasamy on Apr 29, 2016 at 10:33 am

    If high end VW also can kaput every other month because of DSG, what about budget VW like this? Better just park it in the SC 10 months a year.

    VGM, please compnesate all VW owners in Malaysia. They cannot be sitting in the SC whole year.

    Like or Dislike: Thumb up 6 Thumb down 2
  • Muniandy Periasamy on Apr 29, 2016 at 10:42 am

    In US, VW already giving USD5000 compensation to every VW owner.

    Malaysian VGM should compensate all DSG VW cars in Malaysia too cause VW owners RV has fallen to more than 50% for 1 year old car.

    Like or Dislike: Thumb up 6 Thumb down 2
  • Semi-Value (Member) on Apr 29, 2016 at 4:39 pm

    doesnt volkswagen mean “commoners car” already

    Like or Dislike: Thumb up 0 Thumb down 1
 

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