As fuel prices soared in the late 1970s, Volkswagen seized the opportunity to introduce a unique offering to the U.S. market: the legendary diesel-powered Rabbit Pickup. Launched in 1979 for the 1980 model year, this compact trucklet boldly departed from the bourgeoning traditional American pickup, blending the practicality of a small truck with the fuel-sipping efficiency of a diesel engine. Built at Volkswagen’s Westmoreland, Pennsylvania plant, the Rabbit Pickup—known globally as the Caddy—was a Golf-based unibody vehicle designed to meet the demands of a shifting automotive landscape.

The Rabbit Pickup emerged during a time when compact trucks like the Ford Courier and Chevy LUV were gaining traction. Volkswagen adapted the Mk1 Golf platform, extending the wheelbase by nearly nine inches and adding a six-foot bed, creating a front-wheel-drive ute with a payload capacity of 1,100 pounds. Unlike conventional body-on-frame trucks, its unibody construction made it lighter and more maneuverable, though it sacrificed towing capability. Official specs discouraged towing, reflecting its focus on efficiency and light-duty hauling over heavy-duty work.

Tiny Oil-Burning Engine

Under the hood, the Rabbit Pickup offered us two primary engine options: a gasoline-powered 1.7-liter inline-four and the star of the show, a naturally aspirated diesel engine. This little-diesel-that-could evolved over its short production run. The diesel began as a 1.5-liter inline-four, producing a modest 48 horsepower at 5,000 rpm and 58 pound-feet of torque at 2,500 rpm. In 1981, Volkswagen upgraded it to a 1.6-liter version, boosting output to a whopping 52 horsepower at 4,800 rpm and 71 pound-feet of torque at 3,000 rpm. While these figures are pretty much laughable in comparison to modern trucks—where 300 horsepower is commonplace—the diesel Rabbit wasn’t about speed. It took over 20 seconds to reach 60 mph. With a top speed hovering around 75 mph, it earned a reputation for leisurely performance. Needless to say, it was ironically no stealthy rabbit.

Outstanding Diesel Fuel Economy

What the diesel Rabbit lacked in power, it made up for in fuel economy, a key selling point during the energy-conscious 1980s. The 1.5-liter diesel achieved an EPA-estimated 41 mpg (city) and 54 mpg (highway) with its standard five-speed manual transmission, while the 1.6-liter version maintained similar efficiency, with real-world figures often cited around 39 mpg (city) and 45-50 mpg (highway). This efficiency outshone its gasoline counterpart, which delivered 23 mpg (city) and 35 mpg (highway), and positioned the Rabbit Pickup as one of the most fuel-efficient vehicles of its era. In 1982, the EPA even crowned the diesel Rabbit the most fuel-efficient car in its class, highlighting its ability to stretch a gallon of diesel to 50 mpg under optimal conditions.

The Rabbit Pickup enjoyed modest success, with over 77,000 units sold in the U.S. before production ceased in 1984. Its peak came in 1981, with 37,000 units sold, but sales dwindled to just 2,079 by 1983 as consumer tastes shifted toward comfort and power. While it faded from American roads, the Caddy lived on globally, evolving into a van in Europe and enduring in South Africa until 2007. Today, the diesel Rabbit Pickup remains a lovable quirky relic of the 1980s that’ll always hold a place in our hearts—a testament to Volkswagen’s ingenuity in an era when efficiency was king.

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