Volkswagen is reportedly considering adding the Polo hatchback to the models that it assembles locally in Malaysia.

The Business Times said that the move would result in a significant drop in price to the hatchback variant, which is currently imported to Malaysia as fully built-up model.

VW already assembles the Polo sedan locally from completely knocked down (CKD) kits, as well as the Passat. Local assembly takes place at DRB-HICOM's factory in Pekan, Pahang.

The Business Times report said that the CKD version of the Polo sedan, boasting 40 per cent local content, is priced at RM85,888 without insurance, compared to its completely built-up price of RM99,888.