Skip advert
Advertisement

Yugo is back! And it's bringing the style of the 80s with it

Upcoming Yugo supermini will be “affordable and fun to drive” with the potential for both petrol and electric power

Despite production of the Ford Fiesta and Mazda 2 recently being axed, small cheap cars have been given a lifeline with retro-inspired electric cars like the Renault 5 and Fiat 500e – and looking to join in on this resurgence is a new car from Yugo. 

Yes, that’s Yugo – the brand named after its home nation of Yugoslavia (now Serbia) and built by the now-defunct Zastava Automobiles company. Opening the door for the new model is Dr Alekasandar Bjelić, a university professor who has secured the naming rights to the brand with a new firm, Yugo Automobile. He has also already recruited Serbian designer Darko Marčeta, who has penned what the future Yugo will look like. 

Advertisement - Article continues below

Shown as a 1:5 scale model at Car Design Event in Munich, the new Yugo is clearly inspired by the boxy proportions of the original, which itself was based on the Fiat 127 and 128. But Marčeta’s design brings the Yugo into the 21st century with slim LED lights front and rear, big alloy wheels and flush-fitting door handles. 

New Yugo (model car) - rear 3/4

Retro touches come in the form of a blocky front grille and an angular rear hatch not dissimilar to that of the Hyundai Ioniq 5; the classic ‘Y’ badge features as well. Unlike the Renault Clio, Toyota Yaris, Renault 5 and Honda Jazz, all of which are five-door-only models, the Yugo will “initially only be available as a two-door model” with “different body versions” possible. 

Positioned as a B-segment, “affordable small car” (a supermini, in other words), the Yugo will come with an internal-combustion engine with a choice of automatic and manual transmissions. This should help keep costs down in the same way as the original, which was one of the cheapest cars on sale in the UK in the eighties. Yugo Automobile also says “electrified versions are possible”, although no technical details have been revealed about an EV variant. 

While the original Yugo was a rather dull, rust-prone creation that made it to the Auto Express list of ‘worst communist cars’, the new model will “meet all relevant safety standards, and it will be a fun-to-drive car”, according to Yugo Automobile. There is no information just yet on what architecture will underpin the new car, but the firm behind the project says it will sit on “an established platform from a cooperation partner”. 

Our first official look at the production-ready Yugo will take place on 15 September this year, with a finished prototype to be shown at the Belgrade Expo in 2027. 

Are you excited to see Yugo return? Let us know in the comments below...

Skip advert
Advertisement
Alastair Crooks, Staff writer Auto Express
Senior news reporter

A keen petrol-head, Alastair Crooks has a degree in journalism and worked as a car salesman for a variety of manufacturers before joining Auto Express in Spring 2019 as a Content Editor. Now, as our senior news reporter, his daily duties involve tracking down the latest news and writing reviews.

Skip advert
Advertisement

Most Popular

New BMW X5 revealed: luxury SUV gets electric iX5 option for the first time
BMW iX5 - front

New BMW X5 revealed: luxury SUV gets electric iX5 option for the first time

The ultimate do-it-all BMW is now available with an array of powertrain options, including an iX5 with up to 525 miles of BEV range
News
30 Jun 2026
New Car Awards 2026: the winners
New Car Awards 2026 header

New Car Awards 2026: the winners

All the winners and highly commended cars at the 2026 Auto Express New Car Awards.
Awards
1 Jul 2026
Car of the Year 2026: Nissan Leaf
Nissan Leaf - Auto Express Car of the Year

Car of the Year 2026: Nissan Leaf

The all-new Nissan Leaf is the Auto Express Car of the Year for 2026
Awards
3 Jul 2026

Find a car with the experts