Audi to pull the plug on A1: Report

Hatchbacks and sedans are witnessing a slump in sales around the world. The small car segment is probably living on borrowed time, as several automakers are preparing to discontinue their small cars. Especially with electric vehicles are witnessing a surge in demand and production, ICE-powered small cars are about to be diminished.

German luxury carmaker Audi becomes the latest car brand to confirm that it will discontinue entry-level model A1. As Audi CEO Markus Duesmann has confirmed in an interview with Automotive News, current-generation A1 will be the last iteration of the model. But this doesn't mean Audi is completely exiting the small car segment.

The car brand might introduce new small cars in future with electric powertrain instead of combustion engine. Besides increasing demand for EVs, tightening emission norms are also putting pressure on ICE vehicles. As Duesmann said, upcoming Euro-7 emission norms will ensure the death of A1 and A3 models.

He said that it will be difficult to continue with small cars powered by internal combustion engines. Tightening emission norms will increase the cost for the production of these cars and result in a higher cost to the consumers as well. This is not the first time, Audi has hinted discontinuation of A1. Earlier in February 2021 as well the company hinted at possible discontinuation of the model.

After the discontinuation of Audi A1, Q2 crossover will be the new entry-level model from the brand. The company expects combustion engine-powered cars to account for less than 20% of its total sales in Europe by 2030. China and the US market will see some different situations though.