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Volkswagen might cut 40 models across brands to save cash

Volkswagen once set out to pass Toyota and General Motors and become the largest automaker in the world. Following months of fallout from the diesel emissions scandal, the manufacturer is rumored to be dropping around 40 models from its company-wide lineup. According to German business and finance publication Handelsblatt, the Volkswagen Group is looking to slim down and remove a number of low-volume vehicles from various lineups. The company currently sells around 340 models across brands that include Audi, Lamborghini, and Bentley. Volkswagen is refusing to comment, but Handelsblatt claims to have sources within the company. Last week, Volkswagen Group CEO Matthias Muller announced a new strategy for the company that includes a major focus on electric vehicles and new technology services. During his announcement, Muller said the company would be cutting a number of models, but at the time no numbers, models, or brands were discussed. Despite comments to the contrary, rumors have persisted since late last year that Volkswagen was looking to sell commercial truck and bus manufacturer MAN. Volkswagen owns truck and bus manufacturer Scania, so even if it dropped MAN, the company would still have a foothold within the bus and truck market. There is also talk of the company selling Italian motorcycle manufacturer Ducati, which Volkswagen acquired via Audi in 2012. The company's image has taken a huge hit in the wake of the diesel scandal. Volkswagen has set aside cash in order to pay fines and may be looking to sell these several subsidiaries and cut low-volume models in order offset the costs. Despite the scandal, the company led worldwide sales in the first quarter of 2016. The same was true in 2015, but sales tanked at the end of the year following the diesel revelations. Related Video: Rumormill Audi Bentley Volkswagen Ducati

2014 Audi SQ5 ditches diesel, still packs a punch

Over in Europe-land, the Audi SQ5 is a diesel-powered monster capable of sending a whopping 479 pound-feet of torque to its wheels. Naturally, this beast isn't coming to the States, but that doesn't mean we're missing out on the whole SQ5 experience altogether. At the Detroit Auto Show this week, Audi is debuting a new gasoline-powered version of the hot crossover, and while it's not quite the oil-burning dreamboat we've lusted after from afar, we certainly wouldn't kick it out of bed.
Instead of a diesel, we get a boosted version of Audi's supercharged 3.0-liter V6, good for 354 horsepower and 346 pound-feet of torque. Running through an eight-speed automatic transmission, the SQ5 will reportedly be able to fire off 0-60 times in the low-five-second range and will top out at an electronically limited 155 miles per hour. Suspension upgrades are on hand to improve road-going prowess, but also lower the Q5's stance a bit, too.
Because this is an S model, there are plenty of visual upgrades on hand, including a more aggressive front fascia, 20-inch wheels and some pretty new colors including Estoril Blue and Panther Black. Interior upgrades like Alcantara trim and aluminum brightwork add to some sportiness from the cockpit view, as well.

Germany says nein to EU ban on new fossil-fuel cars from 2035

BERLIN (Reuters) - Germany's government will not agree to European Union plans to effectively ban the sale of new cars with combustion engines from 2035, Finance Minister Christian Lindner said on Tuesday. In its bid to cut planet-warming emissions by 55% by 2030 from 1990 levels, the European Commission has proposed a 100% reduction in CO2 emissions from new cars by 2035. That means it would be impossible to sell combustion engine cars from then. European Parliament lawmakers backed the proposals this month, before negotiations with EU countries on the final law take place. Speaking at an event hosted by Germany's BDI industry association, Lindner said there would continue to be niches for combustion engines so a ban was wrong and said the government would not agree to this European legislation. Lindner, a member of the pro-business Free Democrats, which shares power with the Social Democrats and Greens, said Germany would still be a leading market for electric vehicles. (Reporting by Christian Kraemer; Writing by Madeline Chambers; Editing by Miranda Murray and Edmund Blair) Green Government/Legal Green Audi BMW Mercedes-Benz Volkswagen Opel SEAT Skoda