The Volkswagen New Beetle is a subcompact car introduced by Volkswagen in 1998, drawing heavily on the design cues of the original Beetle. Based on a Volkswagen Golf, the "retro" design proved to be more successful in some markets than in others. It is assembled at the VW Puebla factory in Mexico. The big contrast between the New Beetle and the Classic Beetle is that, like most cars, the New Beetle has the engine in the front and storage in the back.