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 |  Dec 06 2011, 10:45 PM

You might find it strange, but in Europe when automakers release a new model, they don’t always retire the old one.

That’s the case with Fiat‘s Panda 2, which will now run under the new “Panda Classic” title. Fiat debuted the new model at last September’s Geneva Motor Show, where it seemed likely the old model would be discontinued.

Rather than doing that, Fiat decided to repurpose the old Panda as an entry-level competitor to other low-cost cars according to a story reported in an Italian automotive news publication.

The Panda Classic will serve as competition for the Dacia Logan, which is gaining ground in the Italian market quickly. The Fiat comes at a higher cost than the Renault sedan, but it also saves on engineering a new car. Despite the higher cost, the Panda Classic still enjoys a solid reputation in Italy as an established and popular vehicle.

[Source: Left Lane News]