

- Yugo is back and has revealed its first scale model concept for a new generation of the small hatch.
- The new model promises both combustion and electrified versions with manual gearbox options.
- The first drivable prototype of Yugo’s comeback is expected to launch at the 2027 Belgrade Expo.
It’s official: the Yugo is making a run at a comeback. Yes, the same Yugo that’s often mocked as one of the worst cars ever made, is trying to rewrite its story. Today, we’re getting some early details and a sneak peek at its design, and if we’re being honest, it looks like the new Yugo might actually be a worthy successor to its infamous predecessor. The real question, though, is whether it can make it to the next milestone: a drivable prototype, slated to debut in two years.
The Yugo’s Legacy
The original Yugo is a bit of an antihero in the automotive world. It was never built to be the fastest, the prettiest, or the most tech-heavy, but it didn’t need to be. It was functional, it was practical, and most of all, it was cheap. While we still don’t have any idea what pricing will look like for this modern iteration, the details we do have sound pretty good.
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Designed by Darko Marčeta and led by Prof. Dr. Aleksandar Bjelić from Germany, the new Yugo has a distinctly boxy, classic look. The company unveiled its first scale model prototype today at the Car Design Event (CDE) in Munich.
Aimed at the European B-segment (think subcompacts for North American audiences), the car features a two-door layout, a wide, flat profile, and a rear hatch with a subtle slope. It closely resembles the design sketches we saw earlier this year, capturing that retro charm with modern touches.
The best part probably goes deeper than the design, though. After all, what’s a pretty face without the right combination of features? To that end, Yugo says the car will “launch with combustion engines and both manual and automatic transmission will be available. Electrified versions are possible, as well as different body versions.” That’s right, it sounds like it’ll be a small practical car with a stick shift.
There’s no official word yet on where Yugo plans to sell the car, but the European market seems like a sure thing.
The Projected Timeline
Yugo has set some key dates for upcoming announcements. On September 15 of this year, the company will unveil a “sporty derivative” and share more technical details at the CDE Classic in Dietzhölztal, Germany. We’re hoping that’s when we get the lowdown on what platform and powertrain the new Yugo will be built on.
The big reveal, however, isn’t expected until 2027. Yugo has made it clear that we won’t see a full-scale drivable prototype until May 15 of that year, during the Belgrade Expo. It’s been almost a decade since the Yugo left production in 2008, so waiting a little longer for a car like this might not be a dealbreaker. Still, there’s something appealing about the idea of a cheap, cheerful car hitting the market sooner rather than later. Here’s hoping it’s worth the wait.
Photos Yugo