Production of the Beetle continued in smaller numbers at other German factories until 19 January 1978, when mainstream production shifted to Brazil and Mexico: markets where low operating cost was an important factor. However, this shift in production did not completely end sales of the Beetle in Europe, although after this date sales of the Beetle in Europe were very low. Beetle sedans were produced for U.S. markets until July 1977 and for European markets until 1985, with private companies continuing to import cars produced in Mexico after 1985. The Beetle convertible/Cabriolet ended production (as 1979 models) as of January 31, 1980.


Volkswagen was originally established in 1937 by the German Labour Front. In the early 1930s, the German auto industry was still largely composed of luxury models, and the average German could rarely afford anything more than a motorcycle.
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