2003 Volkswagon Golf on 2040-cars

Auto blog

Volkswagen rules out more potent Polo R

Volkswagen may be planning ever more powerful versions of its Golf, but don't expect that lust for power to trickle down to the smaller Polo anytime soon as the German automaker has reportedly ruled out the prospect of making a Polo R. This according to Autovisie, the automotive section of Dutch newspaper De Telegraaf, in speaking to VW representatives at the launch of the new Polo GTI. Where the previous Polo GTI offered 177 horsepower, the new one packs 189 and is available with either a six-speed manual or seven-speed dual-clutch transmission. The company briefly offered a Polo WRC Street with 220 horsepower, but that was only for a limited edition that Autovisie says will not be repeated for mainstream production. Which may just be for the best, as far as we're concerned, as no versions of the Polo are offered in the US, and we don't need yet another piece of forbidden fruit we can't get our hands on. The decision may seem at odds with the Polo R WRC rally machine with which Volkswagen has been dominating the World Rally Championship for the past two seasons, but was likely made in order to keep the Polo from infringing on Golf territory. VW currently offers the Golf GTI with 210 horsepower and the Golf R with 292, and showcased an even more powerful version with nearly 400 hp.

Volkswagen lays off 500 Chattanooga workers

The redesigned Volkswagen Passat has been a decent seller since its debut in 2011, but sales have apparently dropped off enough that the automaker is trimming some of the employees from its Chattanooga, TN assembly plant. According to Automotive News, Volkswagen will be cutting shifts and laying off 500 contracted workers in response to slowing sales.
Currently, the plant has three teams running 10-hour shifts Monday through Saturday, but starting May 13, this will be reduced down to two teams running 10-hour shifts Monday through Thursday. This will be done to reduce dealer inventory (the article says that VW dealers, on average, have a 97-day supply of Passats) and production capacity (currently running at an annual pace of 170,000 units, which is more than the 150,000 annual units the plant was planned to produce).
This, of course, isn't saying that the Passat has been a failure since VW added 200 full-time employees to the plant in February 2012 to keep up with increased demand. The AN article says that automakers frequently overstaff plants during the launch of a new product - or in this case, a new product and a new plant - but eventually reduce the workers as things run smoother and more efficiently.

VW outsells GM in China for first time in 8 years

In case you didn't know, Volkswagen is hell-bent on becoming the largest automaker in the world. The German carmaker has inched closer to that goal, having outsold General Motors in China last quarter for the first time in eight years.
Volkswagen's sales in China, its largest marker, increased by 21 percent last quarter to 704,991 units. Those numbers almost tripled GM's third-quarter growth, and were enough to beat out the American automaker's 664,765 sales. GM, however, still leads in year-to-date sales in China by a slim margin of around 77,000 units. The Asian nation also happens to be GM's largest market, and according to the report in Automotive News, China's car market may grow to be larger than the US, Japan and Germany combined in three years' time.
About the news his company was bested in China by VW last quarter, GM CEO Dan Akerson is quoted saying, "It's not whether you're the biggest car manufacturer. It's whether you want to be the most profitable." It should be noted of these figures that GM includes truck figures, yet excludes Hong Kong and Macau from its Chinese sales numbers, while VW does just the opposite. Through September of this year, Volkswagen had 5 of the 10 best selling vehicles in China. GM boasted three of the cars on that list.