VW Readies New Jetta Brand for China

Volkswagen AG says it will launch Jetta, a new entry-level brand in China, in the third quarter of 2019.

The plan was first reported last week by China’s Sina social network. It said the new brand’s first three models will be the Jetta small sedan (called the Santana in China and Bora, Sagitar or Vento elsewhere) and two rebadged compact SUV/crossovers from VW Group’s SEAT low-cost unit.

The new line will cater primarily to first-time buyers in China’s tier 3-, 4- and 5-sized cities with vehicles that retail for about €6,000 ($6,800), according to the company. VW says the brand will target upwardly mobile, under-35-year-olds who currently are served almost entirely by domestic brands.

VW developed the new Jetta lineup with partner FAW Group Corp. to target the one-third of China’s auto market positioned below the mainstream already dominated by the VW brand.

VW expects to have about 200 Jetta dealers in China by year-end.