Skoda is considering expanding its European model range with more affordable gasoline and electric models, Autocar reports. The manufacturer is exploring various options to reduce vehicle costs, including adapting the Kylaq compact crossover, which currently sells in India for the equivalent of approximately £6,000.
In recent years, the segment for the most affordable city cars in Europe has almost disappeared. Models such as the Ford Ka, Peugeot 108, and Skoda Citigo have left the market, and their successors have yet to appear. As a result, buyers are forced to choose larger and more expensive cars, such as the Skoda Fabia.
Skoda CEO Klaus Zellmer stated that the company is working on a project to create more affordable models using components from various cost-effective sources. According to him, Skoda participated in the development of the Volkswagen ID Every1 concept in its early stages but later decided to focus on its own projects.
Zellmer explained that due to the slow growth of the electric vehicle market, it is more profitable for Skoda to continue selling its gasoline models like the Fabia, Scala, and Kamiq. He also noted that within the Volkswagen Group, the Volkswagen brand is responsible for developing compact city electric vehicles, where profitability is low. Therefore, a completely new budget electric Skoda is not expected to appear in the coming years.
Nevertheless, the company does not rule out the appearance of a model that will be cheaper than the Fabia, which starts at approximately £21,000 in Europe. One of the most interesting options is the Kylaq compact crossover. It is shorter than the Fabia and built on an adapted MQB A0 platform.
Klaus Zellmer stated, "If you look at the design, the technology, the quality of finish, we could study bringing the car up to European standards. If you compare the cost of the Fabia… and the price of Kylaq in India, it becomes obvious how big the difference is. There is economic logic here worth exploring."
If the project is approved, Skoda could bring a truly affordable model back to Europe, for which demand remains after the disappearance of most budget city cars from the market.
