Ulrich Hackenberg, member of the Board of R&D at Volkswagen, announced that the German car manufacturer is developing a low-cost car that will be in competition with Renault Logan, Hyundai Accent and Lada Kalina. The low-cost Volkswagen will be based on the VW Polo and will be produced at the Kaluga plant in Russia by the end of 2009.
Looking at the competition the new low budget Volkswagen will be priced in the low $10,000 region.
