Volkswagen working on a Smart Car challenger

Volkswagen working on a Smart Car challenger

Volkswagen AG’s new chief executive Martin Winterkorn has said in a statement that they are currently working on a new compact model.

He further clarified that they currently have no plans for another round of job cuts.

Winterkorn was speaking to media group Sueddeutsche Zeitung when he said that he proposed the “design and development of a new, very small, model below the Fox”.

VW Fox

VW Fox

He calls this new model to be “an economical, everyday small car that looks attractive and is affordable” that would be aimed at markets worldwide.

He further said that unlike the DaimlerChrysler’s Smart Car, their model would have “space for four people plus luggage.”

He also added on their plans for the future: “We need the team in its current strength in order to realize additional projects that we are getting started now”.