Volkswagen is planning to launch a new budget brand to rival companies such as Dacia, a report from the German magazine Auto Bild has revealed.
The new brand would consist of no-frills cars intended for third-world markets; however, the budget cars could also be sold in Europe.
It is likely that three models -- a saloon, and estate and an MPV -- will form the model line-up for the new brand, with prices starting from just €6,000 (£4,800) for the most basic models.
The cars will be based on existing VW group architecture; however, the bodywork and styling will be very crude by modern standards, making the cars cheaper to build and develop -- if you're expecting levels of quality on a par with the new Golf, you'll be disappointed.
The new plans are part of VW's aim to crack the Chinese and Indian markets and become the largest car manufacturer in the world by 2020. VW already owns Audi, Bentley, Bugatti, Lamborghini, Porsche, SEAT, Skoda, Ducati, MAN and Scania.
It is doubtful that VW will be willing to sully its reputation by marketing these cars in the UK; however, we quite like the idea of being able to buy a new car for less than five grand.
Related used car searches
Search used Dacia
Search used Volkswagen
