Shanghai (ZXZC)- Volkswagen is about to launch an all-new sub-brand on February 26 next year in Wolfsburg, Germany, which will be introduced to Chinese market and manufactured by FAW-Volkswagen (FAW-VW), according to a Chinese media outlet.

On October 29, FAW-VW registered a new trademark named “Jeda”, which is expected to be the Chinese name of the new brand, the joint venture's third brand following FAW-VW and FAW-VW Audi.

It is reported that the automaker has planned three models for the new brand, namely, an A-segment SUV, an A+ SUV and A SH sedan. Of that, the A SH sedan model will be developed based on Volkswagen's Jetta.

FAW-VW plans to spare the capacity for the Sagitar in the east plant of its Chengdu production base to produce vehicles under the “Jeda” brand. Planned annual capacities for A-segment SUV, A+ SUV and A SH sedan are 75,000 units, 150,000 units and 75,000 units respectively.

The A-segment SUV, positioned as a compact SUV models, will be developed on the basis of Seat's Ateca. The A+ SUV measures 4,600mm long, 1,841mm wide and 1,611mm tall with a wheelbase length of 2,730mm, 200mm longer than that of the A-segment SUV.

The vehicles of the all-new brand are predicted to be priced between RMB50,000 and RMB150,000, which may rival the popular China-made SUV models like the Geely Boyue and the Haval H6 after hitting the market.

Besides, compared with the price range of FAW-VW Audi (RMB190,500 to RMB694,800) and FAW-VW (RMB79,900 to RMB319,800), the new brand seems to target a lower-end market with its more affordable prices.