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The Yugo is back – and in style: The new Yugo will be a retro legend in a modern costume that will (maybe) shake up Europe

The good old Yugo in a new way – with LED lights and electricity!

novi Yugo
Photo: Yugo

Just when you think you've seen it all, this happens: the new Yugo, the car from the days of high-waisted jeans and VCRs, is back! And yes, now it even has a chance of surviving more than three days without a mechanic.

If you grew up in Yugoslavia, you Yugu either sitting or pushing it. Maybe both. But beware – the new Yugo is no longer the subject of jokes, but a concept that even Germans are excited about. Well, at least those in Munich, where it debuted at the Car Design Event 2025 as a… model. But hey, even the Porsche 911 started out as a sketch!

The futuristic-retro look was created by Serbian designer Darko Marčeta, under the guidance of Professor Dr. Aleksandar Bjelić – which means that Yugo now it comes with a PhD and a potential degree in aesthetics. The model clearly suggests that it is an urban city rocket with a boxy silhouette, minimalist surfaces and a touch of nostalgia.

The new Yugo? What do we know? Just enough to make us want more

Right now, the new Yugo is still in the "watch and dream" phase, but the announcements are as tempting as a 3 a.m. burek. They promise versions with a naturally aspirated gasoline engine and a turbo (read: something for grandma and something for the kid), as well as an electric model - because, of course, it's 2025.

Photo: Yugo
new Yugo
Photo: Yugo
There will be manual and automatic transmissions (which is almost a miracle), and – watch out now – a sports version. Yes, you read that right. A sports Yugo. Which means you could finally get from traffic light to traffic light faster than a pedestrian. They are still keeping quiet about specific numbers, but if whispers from Car Magazine are to be believed, they may surprise us as early as this fall.

Destination: Europe. America? Too much of a mouthful

If you're American and reading this, we have bad news: the new Yugo will almost certainly not make it across the Atlantic. Which is perhaps for the better for everyone involved. In Europe, however, the car will compete in a class dominated by the Citroën C3, Renault Clio and VW Polo - a class where every euro and every millimeter of legroom counts. Yugo says it can produce until 2027. The first prototype is expected to shine at the Belgrade Expo 2027. We're marking the date and cooling our beers.

Conclusion: call him Yugo, but now he wears Balenciaga jeans

First impressions? Nostalgia is strong, but the new Yugo isn't just counting on it. With a new vision, smart design, and a promise of affordability, this little (but loud) car has found its place on the road again. If it manages to combine retro charm with modern reliability (and if it does offer a sporty version that actually burns something), it could become a true "cool city car" for a new generation.

Photo: Yugo
Photo: Yugo

Prices are not yet known, but given the positioning, we can expect something between “can I afford it” and “should I take out a credit for the USB-C charger inside?” A modest wish: for it to remain as funny and rebellious as it was.

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