Volkswagen will launch its low price vehicle in 2016
- Volkswagen announced it would launch its low price vehicle in China in 2016. The future model (segment A) will be marketed under a new brand at a price averaged under 8,000€.
- The German group could sell this model throughout Southeast Asia and India, but it does not intend to sell this vehicle on the European market, in order not to penalize the Volkswagen Seat and Skoda brands present in the region. These brands offer indeed city cars such as the Up, Mii and Citigo at rates between 9,000 and 10,000 €.
- Volkswagen, who up to now was absent from the segment of low price cars, believes that this segment has great potential. According to its own estimates, 8 million low price vehicles were sold worldwide in 2012, representing more than 10% of the global car market.
- According to Volkswagen, the global market for low price cars is expected to double by 2018, from 8 million to 16 million units, which represent the volume of the entire European market (all models) at that date.
- It is to be noted that Volkswagen will launch its low price model in partnership with FAW, one of its two Chinese partners who manufactured in 2013 nearly a million and a half vehicles for the German carmaker.
