2012 Audi Q7 Tdi Quattro Premium Plus Diesel on 2040-cars

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2014 Audi S1 Quattro [w/video]

Audi may only now be fully committing to the US compact car market with a range of A3 models, but it's got far more small car expertise than most Americans realize, and its offerings get even tinier, too. Back in 2010, Audi leapt into the subcompact premium fray - in all markets but the United States, Canada and China - with its A1. The A1 family has sold all right, but not quite as well as was expected, likely due to its price when optioned up. (It also doesn't help that the Volkswagen Polo is a great car on the same architecture and costs much less.)
But Audi seems compelled to make high-buck S trims of everything nowadays, so right on schedule, I've scored seat time in its new S1 Quattro. Under its gumdrop-colored hood is the very popular 2.0-liter TFSI motor. In this trim, it's good for 228 horsepower and 273 pound-feet of torque between 1,600 and 3,000 rpm. That's quite a lot of gumption for this little blaster - enough power for 0-60 in just 5.7 seconds.
My drive was originally supposed happen on a sub-zero frozen lake in Sweden, only Audi forgot to call Mother Nature and ask her to hold off on springtime. It would have turned into a slush drive and then a submarine test had I been told to stick to the original plan, so it was dusty, soggy and gravel-y pavement instead, which turned out to be a better real-world test anyhow. Plus, the car got even cuter when it was filthy.

Volkswagen profit jumps as it warns of a cooling auto market

FRANKFURT, Germany — Volkswagen says its profits jumped 44% in the third quarter thanks to a more profitable mix of vehicles in its lineup but warned that global car markets are slowing more than expected and lowered its forecast for annual sales. After-tax profit rose to $4.42 billion (3.98 billion euros) as revenues rose 11% to $68.27 billion (61.42 billion euros). The sales margin of 7.8% exceeded the goal of 6.5-7.5% as vehicles bringing higher profits took a larger share of sales. The Wolfsburg-based automaker pointed to the headwinds facing the industry by saying that it expects "vehicle markets will contract faster than previously anticipated in many regions of the world." It said sales would be "on a level" with last year's record of 10.8 million vehicles. Previously it had expected a slight increase. The company said its profits would be in the lower end of its forecast range. Global automakers are facing a slowdown in sales amid disputes over trade and from pressure in the European Union and China to develop and sell low-emission vehicles that require heavy investment in new technology. Ford and Renault have issued profit warnings in recent days, while Daimler, maker of Mercedes-Benz luxury cars, lost money in the second quarter and is expected to outline a cost-cutting strategy for investors on Nov. 14. Volkswagen is leading the push into electric vehicles in Europe by launching its ID.3 battery-powered compact car at prices it says will make zero local emission vehicles a mass phenomenon. The company was able to increase earnings in the quarter despite an 18% rise in spending on research and development.

Car companies may need to start curbing model proliferation

Looking at the current automotive landscape, especially from German makers, you quickly get the impression that less definitely isn't more. BMW alone offers its 3 Series platform in practically every segment possible, including the regular sedan and 4 Series Gran Coupe, which would seem to be direct competitors. Porsche might be the winner, though, with 20 different variants of the 911 listed for sale on its US website. However, some of this model madness might be reaching an end as companies begin cutting back spending or shifting money to other priorities.
According to Yahoo Finance, the offerings from the German automakers are up 25 percent over the past three years to over 200 models in Europe. The peak is expected to come around 2018 at 230 separate vehicles, according to consulting company PwC.
Amazingly, BMW, which is among the poster children for this model explosion, might be changing its tune. "I'm sure there will be points in the future where we look at certain cars and say, 'Maybe we need to think differently now,'" said head of sales Ian Robertson in an interview, according to Yahoo Finance. The statement certainly sounds shocking coming from a company rumored to have 23 front-wheel-drive vehicles all using a single platform on the way.