Budget brand will target younger buyers, offering a rebadged Volkswagen Jetta saloon and a pair of Seat-derived SUVs
15 April 2019

Volkswagen has launched a new standalone brand for the Chinese market, named after its long-running Jetta model, at the Shanghai motor show.

The Jetta brand will be run by the German firm in co-operation with long-time Chinese joint venture partner First Automobile Works (FAW). It will target younger buyers outside major metropolitan areas. The two companies first revealed they were planning a budget brand in 2017.

Volkswagen sales boss Jürgen Stackmann said: “With Jetta, we're closing the gap between the established Volkswagen lead brand in the top volume segment and entry-level mobility, which accounts for about one-third of the Chinese market and is served mainly by local brands. This way, we will significantly increase our market coverage."

By the end of 2019, Volkswagen plans to establish up to 200 Jetta dealerships, and it says this network will be supported by a range of sales formats, including digital showrooms, shopping malls and mobile sales trucks.

The initial Jetta line-up comprises three models, the VA3, VS5 and VS7, with sales scheduled to start in the third quarter of this year.

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The 4487mm-long VA3 is a rebadged version of the current Chinese-market Jetta saloon, while the 4400mm-long VS5 and 4600mm-long VS7 are SUVs that draw heavily on the Seat Ateca and Seat Tarraco, with five and seven seats respectively.

Seat doesn't have an existing sales presence in China; the integration of the Spanish car maker’s models into the Jetta line-up is expected to profit from greater economies of scale.

A VS3 compact SUV based on the Seat Arona has been muted as a possible future addition to the Jetta range.

Stackmann added: “In China, the Jetta plays an extremely valuable role for us as a Volkswagen model. It has brought mobility for the masses, just like the Beetle once did in Europe. Developed by Volkswagen and built in China, the Jetta placed China on four wheels.

“To this day, it's one of Volkswagen’s most popular models in China – a real icon. This is why we're transforming a model into a brand and establishing a separate model and brand family.”

Each of the initial Jetta models is planned to receive a common corporate grille treatment, as previewed by an official sketch of the VA3 released by Volkswagen. They will be produced at a factory operated jointly by Volkswagen and FAW in Chengdu, China.

Volkswagen delivered 3.11 million cars in China in 2018, making it the company’s single largest market.

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Comments
9

27 February 2019

The Chinese gov't demand for domestic sub-brands by foreign manufacturers is the driver behind this, particularly as this brand will be produced in the opposite end of China to VW's traditional VW/Skoda territories of east-coast Beijing and Shanghai. It's going to get very confusing to work out which is a Skoda, VW or 'Jetta' version of the copy/paste VW China product strategy... except, of course, the 'Jetta' Jetta...

27 February 2019

Herr Stackmann doesn't seem to know his VW China history: it is the Santana that VW made most popular in China, but VW can't claim to have 'put China on four wheels' -that's nonsense.

27 February 2019

"The VS7 are SUVS that draw heavily on the Ateca". Probably because looking at the photo the VS7 is yet another midly restyled Seat Ateca like the Skoda Kodiaq and Cupra Ateca are.

28 February 2019

Smart move, but VW's styling is becoming more and more standard and undifferenciable. From a distance its hard to tell a T-Roc from an Ateca from a VS5.

2 March 2019

Turning into the 21st century BMC

15 April 2019
kboothby wrote:

Turning into the 21st century BMC

But with far less interesting cars and even less innovation.

4 March 2019

I suppose it's better than a bicycle.

15 April 2019

Doesn't Seats profit come from making A1s and T-Rocs? The SUVs behind the Jetta versions are made by Skoda who complain of a lack of capacticy for their own badge. Won't Seat and Skoda profit equally or more liklely not at all from this execrise?

15 April 2019

I'd prefer that badge on the front of an Ateca over the stupid logo Cupra use.

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