f you thought VW had strayed from its humble roots, then think again... Recent models such as the Touareg and Phaeton may not seem in keeping with the 'People's Car' tag, but the German company's next major model is once again set to be a car that nearly everyone can afford.
With a price of around £5,000 for the entry-level version, the replacement for the Lupo will become the cheapest new car on sale in Britain, undercutting rivals such as the Perodua Kenari, Daewoo Matiz and Rover CityRover.
But just because it will have a budget price tag doesn't mean the VW will be cheaply finished or under-equipped. The newcomer will be built in Brazil, in a factory that makes the South America-only Gol and Parati models. And thanks to low labour costs and support from the government there, the plant will produce more than a million cars a year.
The new Lupo will be the first model to be developed and built from scratch at the plant. It's codenamed 'Tupi', and we have already seen prototypes being tested. However, these exclusive official pictures reveal the car that'll hit showrooms in summer 2005. The name has yet to be decided, but sources suggest that VW is considering Fox and Start.
Built on the Polo platform, the newcomer is 70mm shorter than the supermini, and 140mm longer than the cur-
rent Lupo. The Polo wheelbase creates a more spacious cabin than in the Lupo, while the wider track means the car will seat five adults. Meanwhile, the rear seat will split three ways and be mounted on runners, allowing the boot capacity to be increased from 200 to 240 litres.
Safety will be high on VW's agenda. European models will come with ESP and ABS as standard - even on entry-level cars - while all versions will get driver, passenger, curtain and seat airbags for maximum protection.
Engines will come from VW's current line-up, kicking off with a 1.2-litre 55bhp three-cylinder petrol unit. Next up will be a 75bhp 1.4-litre four-cylinder, while a 100bhp 1.6 will be offered, too, albeit with a four-speed auto box only.
Initially, only one diesel will be available. The all-alloy 1.4-litre three-cylinder is used in the current Lupo and Polo, and develops 75bhp. A 60bhp 1.2-litre oil-burner is also under development, alongside a new 1.0-litre three-cylinder petrol unit, both of which will debut in 2006 and comply with the toughest European emissions legislation.
However, the Lupo replacement will sound the death knell for its sister car, the SEAT Arosa. At present, both models are built at VW's HQ in Wolfsburg, Germany. But as this factory gears up to produce the new Passat, the Arosa will be axed.
The city runabout does not reflect the sporty image VW wants to create for the Spanish maker. So instead, a new baby SEAT will arrive in 2006 using aluminium spaceframe technology gleaned from Audi to ensure light weight and a super-stiff body.
But the Lupo replacement will also form the basis of a new Skoda city car. The Czech company is planning a model to fit in its range below the Fabia, likely to resemble the Roomster show model seen at Frankfurt.
)