Audi has confirmed that it will build an "attractive" new compact crossover, the Q1, at its Ingolstadt factory in Germany.
The premium European marque has confirmed the vehicle will go into production in 2016 but is keeping details of the new vehicle under wraps for now.
Audi has not said what platform will underpin the Q1, but it's certain to be based on the MQB architecture, most likely a similar layout to the next generation Audi A1/VW Polo platform.
As recently as October 2013 Audi denied the existence of the Q1 but if the official design sketch preview is anything to go by, the vehicle will be a compact five-door prestige SUV that borrows design cues from the Audi Sport quattro concept, first shown at the 2013 Frankfurt motor show.
It's not clear what engines will power the new Q1 but compact turbo-petrol and turbo-diesel engines are most likely, displacing between 1.2- and 1.4-litres.
The potential is there for an SQ1 model to use a larger, more potent engine, and Audi will be looking at incorporating its e-tron hybrid technology.
Audi Australia has already confirmed the new model for Australia, and the Q1 will slot in underneath the Q3, which is priced from $47,500 in Australia at present. Audi could price the car somewhere in the $30,000 price bracket, allowing it to reach new, younger customers.
Andrew Doyle, Audi Australia’s Managing Director, says the success of premium SUVs in the local market make the Q1 an ideal new model to launch here.
"We look forward to giving our customers another strong option to consider in the SUV segment, and expect that the Q1 will drive continued growth for our brand here in Australia," said Doyle.
The German luxury car maker says the new Q1 will be a key part of its future growth strategy on a global scale too, as compact SUV sales are predicted to continue their upward trend for the foreseeable future.
"The Audi Q1 is part of our broad-based SUV strategy," said Rupert Stadler, Chairman of the Board of Management of Audi AG, from Germany.
"It is designed on the basis of the modular transverse engine concept and will round off our Q series at the bottom end," he said.
The advent of the Q1 ensures the long term future of the Ingolstadt plant, which builds the A3 and A4/A5 vehicles.
Audi also stated it plans to launch at least 11 new models by 2020, expanding its product portfolio from 49 models to "more than 60 models" as part of its strategy to grow global sales to more than two million vehicles. In 2012 Audi sold 1.45 million cars.
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