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VW confirms three-row Tiguan to be built in Mexico

Volkswagen has been toying with the idea of a three-row crossover for some time – as evidenced by the CrossBlue concept in 2013 and the Magellan concept way back in 2002. But now the German automaker is bringing it to fruition, and it's doing so right in our back yard (or across the fence, anyway). In its latest announcement, VW confirmed recent reports that it will build a new three-row Tiguan at its plant in Puebla, Mexico. It will be made alongside the Golf and Jetta at the company's largest assembly plant outside of Germany, after a billion-dollar expansion program that will encompass nearly a million more square feet of space and employ some 2,000 workers. Once production of the new Tiguan comes on full steam in 2017, the plant will be pumping out 500 of them every day to be delivered in the Americas, but also exported to markets overseas (save for China and Europe). At that point, VW will be producing 90 percent of its products for North America locally. Of course this won't be the first time Volkswagen will be producing a Tiguan. The current model was introduced in 2007 and underwent a facelift in 2011, but includes only two rows of seating and is imported to North America from factories overseas. VOLKSWAGEN DE MEXICO TO PRODUCE THE NEW THREE-ROW TIGUAN IN ITS PUEBLA ASSEMBLY PLANT Mar 9, 2015 - Investment of $1 billion at Puebla plant - US-CEO Michael Horn: Localization key to safeguard our competitive position - Start of production end of 2016 Puebla/Herndon, March 9, 2015 – Volkswagen de Mexico announced today that a three-row version of the Tiguan will be produced at its plant in Puebla, Mexico. The car will be launched to the markets in 2017. The company will invest $1 billion for the expansion and modernization of its production facilities at the Puebla plant, as well as tooling to produce auto parts at suppliers. Volkswagen de Mexico's strategy of technological upgrading, which started with the production of the new Golf on the Modular Transverse Matrix (MQB) platform, goes to the next step with the new Tiguan. "Localization has become key to safeguarding our competitive position on the global market and manufacturing the Tiguan in Mexico will bring production closer to the U.S.-market," said Michael Horn, president and CEO of Volkswagen Group of America. "It is another proof point that Volkswagen is committed to further growth in the U.S. and North American markets.

New Volkswagen Beetle is on the way

Recent reports have suggested that the future of the Volkswagen Beetle could be in jeopardy, but those rumors have now been squashed. Dr. Heinz-Jakob Neusser, member of the board of management responsible for development at Volkswagen, confirmed to Autoblog that not only will the Beetle live on, a new generation will arrive in "the next up to three years." The next Beetle will move to Volkswagen's scalable MQB architecture. These bones currently underpin the Golf in the US, as well as a range of products available in Europe and other markets. That's not really surprising, given the MQB architecture's flexibility. But what's interesting is that, according to Neusser, using the MQB platform opens the door for electrification possibilities in the Beetle. That could mean a hybrid drivetrain, or even a fully electric example like the e-Golf hatchback. The Beetle "will remain an emotional design," Neusser told Autoblog. That said, it will be "developed in a new design language," in keeping with Volkswagen's plans to offer "much more dynamic, much more emotional" designs on its future cars. "We would like to support more emotional potential [for the Beetle]," Neusser said. This can certainly be seen here at the New York Auto Show, where Volkswagen is rolling out four showcars that demonstrate the potential for unique versions of the Bug. Even beyond that, Volkswagen has already confirmed that the Beetle Dune concept will see production, and Neusser hinted that while the New York showcars are still being evaluated, the Denim convertible will likely come to market. So the future is anything but grim for the Beetle. And in fact, there's a whole lot of potential for Volkswagen's iconic two-door. Related Video:

VW Group to split brands under four holding companies

The Volkswagen Group is planning a tremendous shift in its internal structure that will decentralize operations by splitting its 12 brands into four different holding companies. Here's the breakdown. Things will be split logically, considering the inter-sharing of parts, platforms, and engines. The Volkswagen brand, Seat, and Skoda make up a passenger vehicle division led by former BMW man Herbert Diess. Audi, which is tightly intertwined with Lamborghini and motorcycle manufacturer Ducati, will be managed by current Audi exec Rupert Stadler. Porsche and Bentley, which are already quite close, will be joined by Bugatti and run by Matthias Mueller. Finally, a commercial vehicles division will include Volkswagen Commercial, Scania, and Man. Former Daimler exec Andreas Renschler will take care of the big vehicles. The massive move, according to Automotive News Europe, is part of an internal VAG effort to move away from the structure established by ousted Chairman Ferdinand Piech, who favored a compact, but highly centralized, management structure to oversee the independent actions of the company's brands. Criticism of Piech's arrangement stemmed from the company's slow responses to changes in the market, ANE reports. The new structure should make for a more efficient, streamlined company that's better able to make crucial decisions. What are your thoughts? Should VAG decentralize, or did Piech have the right idea? Have your say in Comments.