Volkswagen has confirmed its “New Urban Coupé” will be revealed in 2020 before production starts at the Anchieta plant in Brazil later that year.

Interestingly, the Wolfsburg-based company says the new model will also be built in Europe from 2021 and “sold in other international markets”.

Earlier reports suggested the new model would effectively replace the Cross Polo, slotting in below the T-Cross and eventually wearing the “T-Sport” badge. As you can tell from the accompanying teaser image, it will feature a coupé-like sloping roofline.

The newcomer will based on the MQB platform, with VW claiming it will combine “sportiness with a high driving position”. It will be designed and developed in Brazil.

The move is part of Volkswagen’s plans to strengthen the “economic significance” of its Brazilian arm. Between 2016 and 2020, the German company will have invested around €1,5-billion in the South American country for the “development of new products, digitalisation and technological innovations”.

“The internationalisation of Volkswagen began 60 years ago with construction of the plant in Anchieta, Brazil. South America has been an important market for Volkswagen ever since. We are strengthening our regionalisation strategy with these investments,” said Ralf Brandstätter, chief operating officer of the Volkswagen passenger cars brand.