Teaser for the Scout Motors upcoming SUV

A recent report coming from Europe has Volkswagen reaching out to the automotive production company, Magna Steyr, to develop its upcoming Scout brand.

VW announced the new brand last year, which would feature rugged SUVs and pickup trucks at relatively affordable prices, with the first SUV being targeted at under US$40,000.

Volkswagen Scout teaser

Volkswagen Scout teaser

The Austrian publication Kleine Zeitung reports that VW has signed a deal with Magna Steyr worth €450 million ($671 million) to develop the vehicles, which is reportedly the largest contract awarded to the Austrian-based production house. Magna Steyr is a division of the Canadian firm Magna International.

Read more: South Carolina gets new plant for Scout Motors

Magna Steyr has a long history of building vehicles for automakers; it currently produces the Fisker Ocean EV and the Mercedes-Benz G-Class.

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