The new Volkswagen Taigun CUV (crossover utility vehicle) based on the Up! platform is headed for production.

Inside sources claim that it has been given the green light, and will be powered by both a gas and diesel turbocharged three-cylinder engine. It will only come in FWD, and there is a possibility of both hybrid and electric version later on. Slightly longer and tall than the Up!, it will offer seating up to five with four comfortably.

No word on release date, but it's suggested to go on sale in 2016.

VW is not planning on bringing the car to North America because of its size and lack of power, but perhaps that could change a year or so after launch.

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