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Audi spending an additional $2.5 billion on expansion through 2019

Thu, Jan 1 2015

Every year, it seems the Volkswagen Group announces a new and larger spend to push growth and profit, with Audi a regular recipient of the moolah. That's reasonable, seeing as hauls in 40 percent of Group operating profits. In December last year Audi said it would spend an additional 100 million euros ($122M US) per year through 2018 to develop new models and expand production, targeting 60 models by 2020 and luxury sales leadership. This month Audi said it will boost that by another two billion euros ($2.5B US) over the next five years, for a total outlay of 24 billion euros from 2014 to 2019. Something like 70 percent of those billions will be spent on new models, technology like "connectivity and lightweight construction," and factory expansion at its plants in Ingolstadt and Neckarsulm. Most of the ten models that will plump the lineup to 60 cars will mainly be aimed at the C and D segments, as well as crossovers, the brand's burgeoning portfolio of PHEV models, and all-electric cars that will begin staking ground in the segment. The big spend comes at the same time as Audi is working hard to reduce costs by $2.5 billion to maintain profitability, part of a larger push by VW to cut costs by $6.1 billion by 2017. More than a billion euros will go to new factories in Mexico and Brazil. Work begins on the Mexico plant next year, and when it comes on-line in 2016, Audi's Q5 successor will roll out of its warehouse doors; Audi has already announced it will hire 850 more workers next year in Mexico. When that's done, Mexico's production of German luxury cars will only trail that of Germany, China and the US. The company's Brazil plant will produce the A3 and S3 starting next year, and the brand figures luxury car buying there will triple by 2017. News Source: Reuters Earnings/Financials Plants/Manufacturing Audi Volkswagen Luxury Mexico Brazil ulrich hackenberg

The best cars we drove this year

Tue, Dec 30 2014

Six hundred and fifty. That's roughly how many cars pass through the hands of Autoblog editors every year, from the vehicles we test here at home, to the cars we drive on new product launches, testing roundups, long-term cars, and so on. Of course, our individual numbers vary due to several reasons, but at the end of the day, our team's repertoire of automotive experience is indeed vast. But let's be honest, some cars certainly stand out more than others. So as the year's about to turn, and as we're readying brand-new daily cat calendars for our cubicles, our editors are all taking time to reflect on the machinery that made this year so special, with one simple, open-ended question as the guide – a question that we're asked quite frequently, from friends, family, colleagues, and more. "What's the best car you drove this year?" Lamborghini Huracan When I review the list of everything I drove in 2014, picking an absolute favorite becomes almost impossible. I mean, how does one delineate between the joy offered by cars as different as the Alfa Romeo 4C, Volkswagen Golf R, Mercedes-AMG GT S and even the humble-yet-wonderful Chevy Colorado? Okay fine, I'll just pick the Lamborghini. I drove the Lamborghini Huracan LP 610-4 on a racetrack, in the mountains, and along southern coast of Spain. It felt like the king of the car jungle in all of those places, sucking the eyeballs of observers nearly out of their heads as it drove by, and almost melting my brain with its cocktail of speed and grip and intense communication. It feels a little easy to say that the one new supercar I drove this year was also my favorite, but the fact is that the Huracan is one of the finest cars I've driven during my career, let alone 2014. Judge me if you must. – Seyth Miersma Senior Editor Rolls-Royce Wraith There are a couple of ways to look at the question, "What's the best car you drove this year?" In terms of what was so good I'd go out and buy one tomorrow, that'd be my all-time sweetheart, the Volkswagen GTI. Or if I'm just talking about sheer cool-factor, maybe something like the Galpin GTR1, BMW i8, or Mercedes-Benz G63 AMG. But instead, I'm going to write about the sheer opulence of being the best of the best. The hand-crafted, holier-than-thou, shut-your-mouth-when-I'm-talking-to-you supremacy. I'm picking the Rolls-Royce Wraith. I drove the Wraith for a week in April, and was really, really impressed. This car does everything, perfectly.

Weekly Recap: 2016 CTS-V gives Cadillac new momentum for the new year

Sat, Dec 27 2014

It's been a rough year for Cadillac. The historic luxury carmaker been in the news for all of the wrong reasons: Declining sales, ditching its advertising agency and the relocation of its headquarters from Detroit to New York. But in late December, Cadillac reminded everyone what it does best: Build some of the rawest and most compelling luxury sedans in the world, as evidenced by the 2016 CTS-V. This monster churns out 640 horsepower from a supercharged 6.2-liter V8. Sound familiar? That's the Corvette Z06 engine, and it makes this CTS the most powerful production Cadillac ever. It also puts the sporting divisions of the Germans on notice. The new CTS-V easily overpowers the Mercedes-Benz E63 AMG S 4Matic and its 5.5-liter biturbo V8 rated at 577 hp, and the BMW M5 (with the competition pack) and its 4.4-liter twin-turbo V8 that pushes out 575 hp. The rear-wheel drive Cadillac can sprint to 60 miles per hour in 3.7 seconds, which is close to the 3.5-second time turned in by the 4Matic-driven E63 S, and a bit quicker than the 4.1 seconds posted by the M5. With Magnetic Ride Control, General Motors' stout eight-speed automatic transmission (also used in the Corvette), Brembo brakes and a carbon-fiber option package that pretty much builds your car out of carbon fiber – it's clear this Cadillac means business. Truth be told, we expected this CTS-V to deliver. It's been a serious sports sedan for a decade, and the recent generation and its 556-hp arrogance have been particularly memorable. But notice what we're doing here? We're talking about product. Not who makes Cadillac's ads, or if the brand's headquarters has a mailing address in NYC. Like the 2016 ATS-V that's due in the spring, the debut of the 2016 CTS-V (on sale in late summer) is a shot in the arm for Cadillac, and its arrival comes during time of transition. The brand is trying to reinvent itself as a modern luxury maker. It wants new customers, a different image and obviously more sales. Those things are going to take time, but with a 640-hp sledgehammer of a sports sedan on tap for next year, Cadillac can still maintain some of its swagger through all of the change. Other News And Views 1984 Audi Sport Quattro heads for the auction block If you're into '80s rally cars, you're really a car person. But if you're into that stuff – and we are – this 1984 Audi Sport Quattro is sure to get your blood flowing.

Former Audi chief designer Wolfgang Egger leaves Italdesign

Sat, Dec 27 2014

The latest word from the international community of automotive designers has it that Wolfgang Egger is leaving Italdesign, but just where the accomplished designer will land next and who will take his place remain big question marks. Egger is a designer who has bounced back and forth between Italy and Germany over the course of his career. He was born in Germany but studied in Milan. He began his career at Alfa Romeo in 1989 and was named its chief designer by 1993 before being head-hunted by the Volkswagen Group in 1998 to head up the design department at Seat. A few years later he went returned to Italy to run the Lancia design department, and was subsequently renamed to the same post at Alfa Romeo. In 2007 he went back to his native Germany to head up the Audi design office, over which he assumed complete responsibility by 2012, but left Audi in 2013 to run Italdesign. For those unfamiliar, Italdesign is the studio founded by Giorgetto Giugiaro (pictured at left next to Egger) back in 1968 but which, along with many other Italian design houses, fell on hard times in recent years. The Volkswagen Group swooped in to rescue the troubled studio in 2010, turning it into something of an in-house advanced design department to provide an alternative perspective on the direction in which the group and its various brands could take their respective designs moving forward. With Egger now leaving its helm, Italdesign and its German parent company will need to find his replacement, and we're sure they'll announce one in due course. The bigger question on our minds, however, is where Egger himself will head next. Given the path his career has taken to date, we wouldn't be surprised to see him land elsewhere in the Volkswagen Group or find a new role in the expanding Fiat Chrysler Automobiles empire. Then again, Egger could find it time to open an entirely new chapter. Watch this space. News Source: Car Design NewsImage Credit: Newspress Design/Style Hirings/Firings/Layoffs Audi Volkswagen designer italdesign giugiaro wolfgang egger

VW Jetta GLI, Peugeot 505 are MotorWeek's 1986 Euro sport sedan alternatives

Tue, Dec 23 2014

Video reviews have become a mainstay of automotive journalism, but long before every publication turned on its video cameras and started uploading to YouTube, there was one program that was blazing the trail. That, of course, was MotorWeek, the television car program produced by Maryland Public Television and hosted by the inimitable John Davis. The program first aired back in 1981, and after more than three decades in the business, it's got a considerable archive of old episodes to unearth. In this latest gem recovered from the MotorWeek back catalog, the program pitted two European sports sedans against each other: a Volkswagen Jetta GLI and a Peugeot 505 Turbo. That's right: back in the 1980s, Peugeot was still competing in the US marketplace. The forced-induction 505 may not have been enough to keep the French automaker in American showrooms, but it was enough to stand up against the VW. Which one won MotorWeek's favor? You'll just have to watch the six-minute clip to find out. News Source: MotorWeek via YouTube Volkswagen Peugeot Economy Cars Performance Videos Sedan vw jetta gli

A car writer's year in new vehicles [w/video]

Thu, Dec 18 2014

Christmas is only a week away. The New Year is just around the corner. As 2014 draws to a close, I'm not the only one taking stock of the year that's we're almost shut of. Depending on who you are or what you do, the end of the year can bring to mind tax bills, school semesters or scheduling dental appointments. For me, for the last eight or nine years, at least a small part of this transitory time is occupied with recalling the cars I've driven over the preceding 12 months. Since I started writing about and reviewing cars in 2006, I've done an uneven job of tracking every vehicle I've been in, each year. Last year I made a resolution to be better about it, and the result is a spreadsheet with model names, dates, notes and some basic facts and figures. Armed with this basic data and a yen for year-end stories, I figured it would be interesting to parse the figures and quantify my year in cars in a way I'd never done before. The results are, well, they're a little bizarre, honestly. And I think they'll affect how I approach this gig in 2015. {C} My tally for the year is 68 cars, as of this writing. Before the calendar flips to 2015 it'll be as high as 73. Let me give you a tiny bit of background about how automotive journalists typically get cars to test. There are basically two pools of vehicles I drive on a regular basis: media fleet vehicles and those available on "first drive" programs. The latter group is pretty self-explanatory. Journalists are gathered in one location (sometimes local, sometimes far-flung) with a new model(s), there's usually a day of driving, then we report back to you with our impressions. Media fleet vehicles are different. These are distributed to publications and individual journalists far and wide, and the test period goes from a few days to a week or more. Whereas first drives almost always result in a piece of review content, fleet loans only sometimes do. Other times they serve to give context about brands, segments, technology and the like, to editors and writers. So, adding up the loans I've had out of the press fleet and things I've driven at events, my tally for the year is 68 cars, as of this writing. Before the calendar flips to 2015, it'll be as high as 73. At one of the buff books like Car and Driver or Motor Trend, reviewers might rotate through five cars a week, or more. I know that number sounds high, but as best I can tell, it's pretty average for the full-time professionals in this business.

Autoweek dubs GMC Canyon, VW GTI its 2015 'Best of the Best'

Wed, Dec 17 2014

For kids around the globe, tis the season for Santa, reindeer and presents. For the automotive industry, the last quarter of each year is reserved for awards, whether they come from Motor Trend, Car and Driver, Automobile, or yes, Autoblog. The latest to get released comes from our friends at Autoweek. The magazine has echoed other outlets, naming a Volkswagen hatchback and a small pickup from General Motors as its Best of the Best. Unlike Motor Trend, which handed out its golden calipers to the Chevrolet Colorado and Volkswagen Golf range, Autoweek doled out its awards to the Colorado's twin, the GMC Canyon, while singling out the hottest version of the Golf, the GTI. "This is the best hot-hatch on the American market – and it may be the best car you can buy for less than $30K," one AW staffer said in the publication's article on the feature. Other staffers praised the absolute value provided by the GTI and the overall fun factor. The Canyon, meanwhile, was saluted for being "the perfect size," not to mention its excellent build quality, feature-rich cabin and overall practicality. "It's truly a truck in the most honest sense of the word," Autoweek wrote of the Canyon. Scroll down for the full press release on the announcement from Autoweek, which includes comments from both Volkswagen and GMC. And then head over and read AW's full feature on the awards. Autoweek names Best of the Best/Car and Truck for 2015 Volkswagen Golf GTI and GMC Canyon signal a strong year for design, performance and value DETROIT, Dec. 16, 2014 /PRNewswire/ -- Today, Autoweek named the Volkswagen Golf GTI as its Best of the Best/Car for 2015, beating a group of finalists that includes the Alfa Romeo 4C, Ford Mustang and Mercedes-Benz C-class; and the GMC Canyon as its Best of the Best/Truck for 2015, besting the likes of the Chevrolet Colorado, Lincoln MKC and Porsche Macan. Autoweek evaluates every new or significantly updated model throughout the year and begins to identify the standouts. Performance, economy, fit and finish, design, value, significance to the auto industry and personal taste all combine to define the Best of the Best. Four cars and four trucks make the grade, and Autoweek editors put them through rigorous road-handling tests at Michigan International Speedway in Brooklyn, Mich. This is where a vehicle transcends the numbers and shows if design, performance and pure driving passion meld into an Autoweek Best of the Best pick.

European jury picks finalists for 2015 Car of the Year

Tue, Dec 16 2014

There are countless Car of the Year awards handed out each year, and naturally, Europe has its own way of doing things. Every year, a panel of jurists representing seven publications in seven different languages and seven different countries get together to name their joint Car of the Year. The panel released a list of 32 candidates back in July, and it has now whittled that list down to seven nominees. The list consists of the BMW 2 Series Active Tourer, the Citroen C4 Cactus (shown), the Ford Mondeo, the Mercedes-Benz C-Class, the Nissan Qashqai, the Renault Twingo and the Volkswagen Passat. Of those seven, only two are available in the US – those being the Mondeo (sold Stateside as the Fusion) and the C-Class. The Passat is an entirely different model in North America, the Qashqai isn't offered here, Citroen and Renault don't even participate in our market and the BMW 2 Series is represented here only by the completely different coupe and convertible. Expect the one and only recipient of the 2015 Car of the Year award to be announced at the Geneva Motor Show this coming March, and while you're waiting, you can place your guesses for the eventual winner in Comments. Featured Gallery 2015 European Car of the Year: Nominees News Source: CaroftheYear.org BMW Ford Mercedes-Benz Nissan Volkswagen Citroen Renault car of the year nissan qashqai citroen c4 cactus bmw 2 series active tourer

VW, Fiat, Mercedes could be CNG winners in Europe

Fri, Dec 12 2014

Fiat ads in the US try to play up the exotic, sexy side of Italian culture. On the home front in Italy, however, passenger-vehicle sales are marked by something less edgy and quite a bit more practical: the growth of compressed-natural-gas (CNG) powered car sales. In fact, Italy is leading a group of European countries where CNG sales are on the upswing and may be benefiting automakers like VW, Fiat and Mercedes-Benz, according to Automotive News. VW started sales of its Golf TGI natural-gas vehicle this year – the company's fourth in Europe – while Mercedes-Benz added a natural-gas B-class model. Fiat accounts for about 50 percent of CNG vehicles sold on the continent. In all, Europe's CNG sales through September totaled about 67,000, up seven percent from a year earlier, Automotive News Europe says, citing research firm JATO Dynamics. And the number of CNG vehicles on Europe's roads could jump tenfold within the next decade. The draw is a combination of lower refueling prices and a CNG drivetrain that typically emits less CO2 than diesel vehicles. As for Italy, about five percent of new-vehicle sales are CNG. To put that into perspective, hybrids, battery-electric vehicles, plug-in hybrids and diesels combined to account for about 4.2 percent of US vehicle sales last year. News Source: Automotive News - sub. req.Image Credit: Volkswagen Green Fiat Mercedes-Benz Volkswagen Natural Gas Vehicles CNG

VW readying two-row CUV concept for Detroit

Wed, Dec 10 2014

We're likely getting yet another glimpse of Volkswagen's future crossover at the upcoming 2015 North American International Auto Show in Detroit, in January. According to Automotive News, two anonymous sources within the automaker indicate a CUV concept will be shown there. The concept is said to be a five-passenger preview of the brand's future seven-seat model. Previous versions of the crossover have carried the name CrossBlue (pictured above), but there was no indication whether or not that would continue. The original three-row concept debuted at the 2013 auto show in Detroit, and VW followed it up with the CrossBlue Coupe Concept in Shanghai later that year. In early 2014, the company announced the CUV would go into production sometime in 2016, along with plans to invest $7 billion in North America over the next five years. During the summer, the automaker made things even more official when it declared plans to invest $900 million to build a 538,000-square-foot expansion into its Chattanooga, TN, factory to assemble the new model. Production of the crossover was slated to begin by the end of 2016, at the time. According to Automotive News, even more changes in VW's CUV lineup are on the way. The Tiguan is reportedly getting an update next year that could be joined by coupe and long-wheelbase variants, as well.