Volkswagen Polo first look

A starting sticker of $16,690 and everything from six airbags and ESP stability control is being used to improve the Polo, which looks and drives for the first time like a mini Golf.  There are three engines and two trim levels in the car, which has taken significant price cuts and also gained a value boost with all the safety gear which was previously in a $1000 option pack.  The basic Polo will be followed later this year but a go-faster model, a GTi.

Production of the Polo is split between Spain and South Africa, with the three-door starter coming from Europe and the five-door models from South Africa to ensure a short supply pipeline.  Volkswagen is massively committed to the Polo, which lines up against everything from the Hyundai Getz and Ford Fiesta to the latest Mazda2, which was given a $16,990 driveway price at the bottom end earlier this week.

New equipment on the car includes everything from the soft-touch gearbox and steering wheel designs to a new steering wheel. All models also have a full-sized spare tyre.  "From the quality point of view we make a very big step forward, says Dimic.

The bottom line is the biggest change and the head of VW Group Australia, Anke Koeckler, says it is the key to the car's success.  "To get to this price was a very long process. But finally we managed it because Polo, is for us, the next step in the Australian market," she says.

"We know the light segment is a very competitive segment . . . and we are really confident.  We want to be a major competitor. The Polo is the right product at the right moment.  We are confident of getting a major increase in volume. But we are concentrating on our own business."