1992 Volkswagen Golf Gti 16-valve Hatchback 2-door 2.0l on 2040-cars

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Volkswagen caught testing hotter Golf R 400

We're getting closer, folks. Last we heard, Volkswagen gave its super-hot Golf R 400 the green light for production. And before that, we were told that if the car got the go-ahead, it would be offered in the United States. So here we are, with a fresh set of spy shots showing what we believe to be the R 400 out testing. Here's one dream that might just be coming true. The prototype seen here sports bigger brakes, different wheels, very low-profile tires, a front lip spoiler, and a wing around back – that last bit looks to be borrowed from the GTI Clubsport. It's not nearly as outrageous-looking as the original R 400 concept, but that's okay with us. Volkswagen's production hot hatches have always been pretty subtle. We love a good sleeper. Under the hood, expect a turbocharged powertrain tuned up to over 400 horsepower. It'll be mated to a dual-clutch transmission and 4Motion all-wheel drive – two parts of the current Golf R package that work very, very well. There's no telling exactly when we'll see the production Golf R 400, assuming it's actually, really, finally happening. All we can do now is wait. And salivate.

VW pondering low-cost sub-brand for China?

More detail is being sketched into the Volkswagen Group's plan to launch a low-cost brand for emerging markets. Late last year a German report quoted a VW rep saying that the brand has been interested in building a no-frills car, the kind that would challenge Dacia and Datsun, for a while. With both Proton and Suzuki effectively out of the partnership picture, a report in Reuters suggests VW could go straight to China, developing a car with its joint venture partners and building and selling it there.
Officially, company CEO Martin Winterkorn said the issue of a model for emerging markets would be decided this year but VW isn't any closer to confirming any kind of plan for a car in its portfolio underneath the Up!, remarking to Reuters about the China possibility, "That's an issue we're currently looking at."

VW budget sub-brand stuck in limbo over VW standards, costs

Reports in October 2012 claimed Volkswagen had begun investigating the creation of its own budget brand. This came after having failed to purchase Malaysian car company Proton or produce a meaningful partnership with Suzuki, and after watching Renault-Nissan make piles of euro on Dacia and plot the return of Datsun.
For VW, more important than the question of what to call it was how to build it profitably and in a way that didn't damage the VW brand. According to a report in Autocar, a satisfactory answer still hasn't been found. The hurdle is how to hit "'necessary' quality and safety levels" at the price points needed to make the venture worthwhile. At the time of the 2012 report, German outlet Der Spiegel said VW was trying to get prices down to 6,000 to 8,000 euro ($7,784 to $10,379 US), about two thousand to four thousand euro under the price of the VW Up and in line with the cost of a 6,790-euro Dacia Sandero in Germany.
In March 2013, VW announced, "We want to bring a true budget car to the market in China in the foreseeable future," the most concrete move in that direction after years of planning to make a decision. Working with local Chinese maker FAW, it was predicted that the vehicle in question would appear around 2016, but as of November last year a final vote on it needed to wait until this year because "We are still working on the cost side" and profit possibilities for a car that "has to be durable, it has to be precise, it has to be safe."