A Quick History Of The Yugo

Dustin Hawley | Oct 02, 2022

We all have our beloved car brands. Some love automakers like Jaguar for its elegance and luxuriousness, while others go for Chevrolet or Nissan for their aesthetic and affordability. 

A Quick History Of The Yugo

Most brands aim to satisfy customers no matter the price range. However, sometimes they miss the mark, and models that seem like a good value bring considerable misery to buyers.

Such was the case with the Yugo. Initially imported to the U.S. and unveiled at the Los Angeles Auto Show in May 1984, this car struggled to find its place on the market and became a notorious name in the automotive industry. Nevertheless, it has a fascinating history, and we aim to explore it in this article. 

An Import From Yugoslavia

In May 1984, an entrepreneur named Malcolm Bricklin found himself in a challenging position. His business, which imported Pininfarina Spiders and Bertone X1/9s, had failed. He faced bankruptcy and had 120 days to find a more profitable car model to sell. Struggling mightily, he traveled around the world and ended up in England, where he tried to score Jaguars. He then went to Serbia, a republic of Yugoslavia at the time. In the parking lot of Belgrade’s Hotel InterContinental, he and former Fiat executive Tony Ciminera first examined a Fiat-based hatchback called the Yugo. 

Ciminera looked at the vehicle with an expert’s eye and noted that it was extremely primitive and cheap-looking. On the other hand, Bricklin was desperate, so they toured the Yugo factory the next day, which produced both the Yugo and machine guns. The building was dark, and work conditions were somewhat dubious, but because the price for the car was $2000 wholesale, Bricklin figured he could use that. He would then purchase the Yugos and sell them statewide for $3990 in August 1985. 

Although the vehicle was communist-made, the American population had no issues with that. The car sold exceptionally well, and about 1,050 Yugos were purchased in a single day. 

Issues And Unfavorable Reviews

Although lots of Americans made quick price-based decisions with the Yugo, they came to complain about the vehicle just as quickly. Within a small time frame, owners started to talk about its slow speed, stating that the car crawled to 60 mph and topped out at 86 mph. Consumer Reports reviews also verged on cruelty, criticizing the acceleration and the engine, mentioning that the car had a horrendous transmission and incredibly cheap interiors. 

Yugo drivers also discovered that vehicle’s spark plugs were an issue, and the cars were not suited for American unleaded fuel. Yugo’s also required specific maintenance, and the timing belt had to be serviced at 30,000 miles. Failing to perform this service could result in the engine’s pistons ramming into the valves and destroying them. 

The bad news kept coming, and the car performed poorly on crash tests. The multitude of complaints made the Yugo import a commercial flop, and sales plummeted. Dealerships decided to offer 2-for-1 deals, with some vehicles even given away for free. Unfortunately, no takers took the bait, and Yugo’s fate was sealed when Yugo America went bankrupt in 1992. 

Summary

Today Yugos fare slightly better, but horrendous reliability and reputation did plenty of damage. The cars never saw a spike in sales and have a minuscule amount of people buying them. In 2016 one Yugo was sold for $7,500 in April, while around 2021, the 1998 GV went for $6,450. Even if these vehicles “see the light of day,” they go straight into collections or are made into art pieces.

Considered by many to be the worst vehicle in existence, Yugos often sell as a “practical joke.” People buy them to see if they live up to their reputation or roam the roads and see how others react. 

What’s Next?


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