VW confirms 450km/h Bugatti and budget brand

The head of Volkswagen has confirmed that the replacement for Bugatti’s Veyron megacar will use hybrid power to breach the outgoing car’s astonishing acceleration figures.

Volkswagen Group Chairman Martin Winterkorn told yesterday’s edition of the German newspaper Bild that Bugatti would offer both petrol- and hybrid-powered versions of its next horizon chaser.

"There will be next to the petrol model for the first time a version to improve performance with a hybrid drive," Dr Winterkorn told Bild.

Bugatti's electrified Veyron successor will follow in the wake of e-boosted powertrains in supercars from everybody from Ferrari to McLaren and even Koenigsegg.

The standard petrol-powered Veyron successor will use an upgraded version of the current model's 746kW 8.0-litre W16 quad-turbo engine, but the electricity-assisted model has a combined output target of more than 1500hp (1120kW).

Powered by an 883kW 8.0-litre W16, the current Veyron Super Sport (pictured) is recognised by Guinness World Records as the world's fastest street-legal production car, with a top speed of 431km/h (268mph), so the new one should be good for more than 450km/h.

Due to debut in 2018 –14 years after the original Veyron emerged in 2004 will once again be based on a carbon-fibre monocoque chassis and offer just two seats, but will again place interior luxury ahead of Spartan sportiness.

Meantime at the other end of the Volkswagen model spectrum, Winterkorn also confirmed the German giant will deliver a budget brand to rival Nissan’s Datsun and Renault’s Dacia.

"We bring from 2018 a budget-car family on the market, with SUV, sedan and hatchback", Dr Winterkorn told Bild in something of a coming-out interview after his successful boardroom stoush with ex-Volkswagen Group Supervisory Board Chairman Dr Ferdinand Piech.

Expected to form a key part of Volkswagen's expansion plans, especially in Europe, the unnamed budget brand will be produced in and aimed directly at China, at least initially.

"We build cars in China," said Dr Winterkorn. "The models will cost about 8000-11000 euros ($A11,500-$15,900). "We will consider whether the issue could be interesting to other markets."