Report – VW finalizes the design of its budget brand models

Posted on: Apr 26, 2014 - 12:19pm IST

VWs plan to have an entry-level budget car has hit many roadblocks, with company officials agreeing once that it was impossible to achieve cost targets. Just last month at the Geneva Motor Show, VWs brand development head, Heinz-Jakob Neusser, told reporters that it was increasingly difficult to achieve cost targets set by the company.

Volkswagen Jetta Mk2 China press image
VWs entry-level budget car could be based on older platforms such as this Mk2 Jetta pictured here.

Now though, Reuters has been informed by Hans Demant, who is responsible for the budget car, that the concept and design of the car are in place. Demant further revealed that all components of the car will be made in China. In fact, China is reported to be the launch market for this car, with prices expected in the region of 6,000-8,000 euros (INR 5.03 lakhs to INR 6.71 lakhs).

The entry-level car could be sold under a new sub-brand, with German media speculating the name to be ‘Tantus’. Tantus, if launched, will be similar to sub-brands like Datsun and Dacia, which are low-cost brands of Nissan and Renault respectively, that build cars on phased out platforms.

According to some industry analysts, the success of this low-cost car, or brand for that matter, will be important for VW which aims to be the world’s biggest carmaker by 2018.

[Source – Reuters]

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2 thoughts on “Report – VW finalizes the design of its budget brand models

  1. Bala says:

    I don’t like the way automobile sales people deal to customer on the name of discounts ,
    they give and take a month of your emi by name of registration charges(it will cost max of 1500, but actual registration charges are 500 only ) and a processing fee (min 5000)
    Demand for more and more discount , keep calling him and ask the split up costs and reasons

  2. cnk says:

    Hello Sir, Your blog is an excellent place to keep oneself updated for latest automobile events happening around. I think I can hope some expert suggestion from you.

    I have taken Test drives of Rapid diesel, Vento diesel, New 2014 Fiat Linea diesel, Honda City Diesel & Verna diesel. I have almost decided to buy VW Veno 1.6 TDI Highline Diesel.

    Now the question is when to buy?? Should I buy now or should I wait?

    Pre-sales experience with VW dealer in my hometown is very satisfying till now. Now he is pressing me to book Vento before the end of this month. He says, I may take delivery anytime in next month after booking in this month and if I plan to cancel the booking for any reason, then complete booking amount will be refunded, without any deduction. I am being offered a total discount of Rs 45,000/- on On Road Price (Rs 30,000/- by VW company on 2014 manufactured Vento Highline Diesel + Rs 15,000/- by the Dealer). He says that the ex-showroom price & the discount he is offering me today, will continue in next month also if I book it in this month, even though I may take delivery anytime in next month. AND suppose, current discount by VW company (ie Rs 30,000/-) increases in next month, then I will be given better discount offer of next month. So he is insisting me to book in this month. What should I do? Car (2014 Manufactured Car with VIN number) is ready in his inventory for delivery.

    Another problem is, possibility of launch of facelift of VW Vento Diesel!!!

    I dont know if, at all, it will be launched or not!!! If yes, then when?? In near future like Diwali 2014 or Year end 2014 or later in next year?? Should I wait for the possible, but unconfirmed, facelift or should I purchase now itself?? The Dealer is VERY VERY sure that new facelift will NOT be launched in this year. He says that company has not given any such information to any dealer across India and I should not wait for scuh facelift. When I mentioned the numerous reports of facelift on almost every website and auto magazine, he says that these are all rumours, Such rumours are for all models of all companies and one should not believe them!!!

    Sir, what should I do? Should I purchase now OR should I wait? And if I should purchase now, then what about the discount being offered to me currently? Is it sufficient OR I should demand more?




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Anjan Ravi

I'm a true-blooded petrolhead. Hope you enjoy our news stories, launch coverages, motorshow coverages and test drive reports.