New budget car will be developed with VW and be cheaper than the Alto
11 December 2009

Volkswagen will work with Suzuki on developing a new budget car for India, according to reports from the country.

VW agreed to take a 19.9 per cent stake in the Japanese microcar specialist earlier this week and India’s Economic Times claims the new budget car is a leading priority at the start of the partnership.

The Suzuki Alto, which is the firm’s best-selling model in India, where it is also built, would no longer be the entry-level model in Suzuki’s range when the new budget car is launched.

RC Bhargava, the chairman of Maruti Suzuki, Suzuki’s Indian subsidiary, told the paper that the car could cost as little as $4300 (£2500), which is double the price of the Tata Nano.

The smallest and cheapest car in the Volkswagen range will be the Up, and a VW spokesman told the newspaper that developing a model cheaper than the Up for emerging markets with Suzuki would be appealing.

“Volkswagen will be greatly interested in a car below the price segment of the Up and that is something we will need to check in our future together with Suzuki,” said the spokesman.

Twitter - follow all the latest Suzuki reviews, news and video

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Lexus LC500
    Car review
    20 October 2017
    Futuristic Lexus LC coupé mixes the latest technology with an old-school atmospheric V8
  • Maserati Levante S GranSport
    First Drive
    20 October 2017
    Get ready to trade in your diesels: Maserati’s luxury SUV finally gets the engine it’s always needed
  • Jaguar XF Sportbrake TDV6
    First Drive
    19 October 2017
    The handsome Jaguar XF Sportbrake exhibits all the hallmarks that makes the saloon great, and with the silky smooth diesel V6 makes it a compelling choice
  • Volkswagen T-Roc TDI
    First Drive
    19 October 2017
    Volkswagen's new compact crossover has the looks, the engineering and the build quality to be a resounding success, but not with this diesel engine
  • BMW M550i
    First Drive
    19 October 2017
    The all-paw M550i is a fast, effortless mile-muncher, but there's a reason why it won't be sold in the UK