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Coronavirus prompts VW to stop production throughout Europe

FRANKFURT — Volkswagen Group, the world's biggest carmaker, is suspending production at factories across Europe as the coronavirus pandemic hits sales and disrupts supply chains, the company said on Tuesday. The German carmaker, which owns the Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda brands, also said that uncertainty about the fallout from coronavirus meant it was impossible to give forecasts for its performance this year. "Given the present significant deterioration in the sales situation and the heightened uncertainty regarding parts supplies to our plants, production is to be suspended in the near future at factories operated by group brands," Chief Executive Herbert Diess said on Tuesday. Volkswagen's powerful works council concluded it was not possible for workers to maintain a safe distance from each other to prevent contagion and recommended a suspension of production at its factories from Friday. Production will be halted at VW's Spanish plants, in Setubal in Portugal, Bratislava in Slovakia and at the Lamborghini and Ducati plants in Italy before the end of this week, Diess said. Most of its other German and European factories will prepare to suspend production, probably for two to three weeks, while Audi said separately it would halt output at its plants in Belgium, Germany, Hungary and Mexico. Volkswagen's vast factories in Chattanooga, Tennessee, in Puebla, Mexico, and plants in Brazil were not affected, but that would depend on how the coronavirus spreads, VW said. Volkswagen has 124 production sites worldwide of which 72 are in Europe, with 28 in Germany alone. "2020 will be a very difficult year. The coronavirus pandemic presents us with unknown operational and financial challenges. At the same time, there are concerns about sustained economic impacts," Diess said.   Production in China resumes Volkswagen Group sold 10.96 million vehicles last year, putting it ahead of Toyota based on the latest figures from the Japanese carmaker. Globally, VW employs 671,000 people and it delivered 4.86 million vehicles to European customers in 2019. Only last month the car and truck maker based in Wolfsburg, Germany, predicted that vehicle deliveries this year would match 2019 sales and forecast an operating return on sales in the range of 6.5% to 7.5%. "The spread of coronavirus is currently impacting the global economy. It is uncertain how severely or for how long this will also affect the Volkswagen Group.

Bentley SUV given green light by VW board

The "will they, won't they" saga over Bentley's SUV plans appears to finally be over. They will. That's according to the German business newspaper Handelsblatt, which is reporting that the controversial SUV will be built after receiving the go-ahead from Volkswagen's board.
Known internally as "Falcon," the still-unnamed Bentley SUV will be based on the EXP 9 Concept that received wildly mixed reviews at its 2012 Geneva Motor Show unveiling. Since the EXP 9's unveiling, there have been a steady stream of leaks and rumors suggesting that the bold-faced vehicle will get a redesign prior to going into production, but it remains unclear how different the final vehicle will look.
According to Automotive News, Bentley is itself stopping short of confirming the green-light report, though it does admit that the SUV's production outlook appears "very positive." Production will likely take place in Slovakia at a plant owned by parent Volkswagen.

Bentley and Skoda capitalize on the coronation

Most likely, King Charles won’t be riding in a Czech-made Skoda this weekend when he is crowned king of England, even though the car company has introduced a Coronation Edition in a “Royal Green” color “in honor of the Coronation.” However, should they ride to the fancy investiture at Westminster Abbey in a home-grown Bentley, the royal tushes of he and Queen Camilla may be resting on bespoke, handcrafted “cabin cushions” created by BentleyÂ’s “Dream Factory” to celebrate the occasion (not likely, since the royal couple is expected to travel in the 260-year-old Gold State Coach). The upcoming, day-long event has inspired lots of tchotchkes of course — chocolate Charleses, crowns for dogs, Lego kings — as well as an outpouring of affection by the public and commercial opportunities to sell them things royalty-related. On the matter of the new KingÂ’s rear end, the Bentley cushions are described as being quite fabulous. It took craftsmen three days to embroider them with the special “Coronation Emblem,” which consists, according to the firm, "of two separate thread colours ... three different colourways of the emblem were used, to contrast the individually-selected hides for different colours of cushions to match the interiors of the Bentleys that will use them." The colors of the cushions include Cricketball and Cumbrian Green, accented by piping of Beluga, Porpoise, Newmarket Tan and Imperial Blue respectively. Should they require more modern transportation, a fleet of Bentleys will be on hand for special guests.  Regarding the Skodas, the Royal Green color will be available to order by commoners as well as by the royal couple, available on selected Superb, Kodiaq and Octavia models in the UK.