Volkswagen plans to revive the iconic Scout brand. For the group, this could be a new brand of electric vehicles aimed primarily at the U.S. market.
The German automotive giant could launch a new brand in the United States, Scoutot. Its first electric SUV (sport-utility vehicle) as well as an electric pickup may soon be on the market. Volkswagen is still planning to launch the brand for the time being, but it has been confirmed to CNBC that its supervisory board will soon vote on the proposals.
Scout isn’t really a new brand in the U.S. market: its history dates back to the 1960s, when International Harvester – today’s Navistar International Corporation – began development. Originally, that group’s family SUVs ran under the name, but they couldn’t even run into the U.S. market. Production of the Scout ceased in 1980. Today, Navistar is part of the Traton Group, which is itself a subsidiary of the Volkswagen Group, so it is not a problem for the Germans to get the name.
Reuters said on Wednesday that VW would invest roughly 100 million euros (38 billion forints) in the new brand, citing two people familiar with the case, adding that it might “seek external financing through investors or a listing to expand production capacity”.
The introduction of the Scout brand would not come as a surprise from Volkswagen, which announced in July 2021 that it plans to sell half of its sales by battery-powered electric vehicles by 2030. According to the company, by 2040, nearly one hundred percent of its new vehicles in major markets will have zero emissions. However, they are not doing well in the e-car competition yet, they are far behind Tesla, but even Renault in the European markets.
(Cover image: Uwe Meinhold / EPA / MTI)