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Why Dacia are cheap cars

Dacia makes the UK’s cheapest car and it’s one that actually sells pretty well. Every car in their range is far cheaper than the equivalent from other car makers so. We try and find out why Dacia are cheap cars.
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1989

You’ll need to go back to 1989 to find a new car as cheap as the Dacia Sandero. At £5,995, it’s £1,200 less than the next cheapest car. To give you an idea of exactly how times have changed, the Ford Fiesta 5-door 1.0-litre Popular from 1989 cost £5,736. You’ll need £12,000 to buy the modern equivalent from Ford so the Dacia’s price point really is very impressive.

How they do it

The guys are Dacia aren’t magicians and they don’t rip off suppliers so exactly how do they make a new car for so little. Well, the first thing they do is limit your options. You can have the Sandero in any colour you like, as long as you like white. You have to wind up the windows and lock the doors manually. Where you’d expect to find a stereo, there’s just a space for you to fit your own and there’s spare wheel here.

Legal requirements

There are equipment that Dacia’s owners Renault aren’t allowed to leave out because law dictates that new cars come with ABS brakes, traction control and front and side airbags. You also get power steering, a rev counter and a 12v power socket to plug your sat nav or mobile phone into. None of that was available with such an affordable car the last time you could buy new for less than £6,000.

Volume

Aside from the lack of choices and the lack of extras, Dacia is also able to cut costs because it sells a lot of cars. They’re averaging around 430,000 cars per year. The Romanian automotive brand is experiencing the highest sales growth in Europe and they’re predicting that these sales will continue to increase. Of course, the more volume they produce, the more their costs can be divided which helps drive the price down.

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