Volkswagen plans to launch a line of budget cars in China and possibly in other countries in 2018, chief executive Martin Winterkorn said.

"We will bring a budget-car family to market in 2018, with an SUV, saloon and hatchback," he said.

The automaker has wanted to introduce a budget car to China but internal cost estimations had thwarted approval of the project.

The vehicles — to be built in China — will cost between 8,000 euros ($8,932) and 11,000 euros, Winterkorn said. "We will see if this is something of interest for other markets as well," he said.

The budget car is seen as important for VW's future plans, particularly in Southeast Asia.