Even though the South African car market is viewed as oversubscribed by many, Chinese brand BAIC will arrive next month armed with a compact hatchback.

The news of BAIC's arrivalcomes as a surprise, especially as the local market seems particularly tough at present and many of the smaller Chinese brands/importers are struggling. At this time details of the brand's backers are unclear, but BAIC is a major Chinese state-owned enterprise and holding company of several automobile manufacturers. It has joint ventures with Hyundai and Mercedes-Benz in China and manufactures high-quality vehicles such as the C-Class and Sonata for Chinese consumption.

D20 compact hatch first

The Mercedes-Benz links are evident inside, where the D20 looks very similar to the first-generation B-Class.

We have already received an invitation to the brand's first local launch, the D20 compact hatchback. The D20 is said to be loosely based on the underpinnings of the first-generation and short-lived Smart ForFour, a vehicle which was co-developed with Mitsubishi (Colt). It also features a design that seems heavily inspired by the first-generation Mercedes-Benz B-Class, including the interior. Most likely the D20 will be offered in South Africa with 1.3- and 1.5-litre engines, the latter potentially with the option of a 4-speed automatic.

We will keep you updated as more information becomes available.

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