Like Volkswagen, Skoda will bring out a city hatchback that will slot in below Fabia next year. Part of the VW-Skoda-Seat New Small Family, the mini Skoda will be a cosmetically different Up sporting interiors familiar to the other Skoda cars.
The design director of this vehicle Jozef Kaban has told CAR Magazine that the three vehicles (expected to be VW Lupo/Skoda Youngster/Seat Arosa) will have visibly more differentiation than the Peugeot 107/Citroen C1/Toyota Aygo trio. Body work will be different with independent bumpers, plastic moldings and subtle metalwork changes. Design inspiration will come from the VisionD concept shown at the Geneva Motor Show in March. The report mentions that the "C" graphic on the tail light will continue to be a design feature of this urban runabout.
Though the Up! concept had the rear engine RWD layout (think Tata Nano), it has been scrapped in favor of the conventional front engine FWD package present on all compact cars in India.
CAR has detailed engine options too. It is understood that 1.0- and 1.2-liter petrol engines will join hands with three- and four-cylinder diesel engines. The three-cylinder diesel engine CAR is talking about could be the 1.2 TDI used on the Polo and Fabia. The Indian Fabia also uses a 1.2-liter petrol engine.
Source - CarMagazine.co.uk