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VW brands excluded from Wards 10 Best Engines for 2016

You definitely won't be seeing a powerplant from Volkswagen or Audi on the 2016 Ward's 10 Best Engines list. In a serious rebuke against them, WardsAuto is excluding all VW/Audi powertrains for at least this year after the German automakers' ongoing emissions regulations evasions. There's no guarantee of the companies returning for 2017, either. In a story on its website, WardsAuto executive editor Tom Murphy writes that the ban lasts "until we are convinced the culture of deceit has been purged, fines have been paid and regulators are satisfied." That could be a while, the way things are looking. The exclusion knocks three powertrains out of the running for this year's list. As a winner last year, WardsAuto would usually test VW's 1.8-liter turbocharged four-cylinder again for 2016. Plus, it planned to check out the 2.0-liter turbocharged four-cylinder from the Audi A6 and the plug-in hybrid from the A3 Sportback E-Tron. In the story, Murphy finds VW's actions particularly despicable because of what they could be doing to the popularity of diesel passenger cars in this country. "BMW, Mercedes-Benz, General Motors, and Fiat Chrysler also sell light-duty diesel engines in the US, but their sales outlook suddenly has grown murky, thanks to VW's shenanigans," he writes. So far, Jaguar Land Rover is remaining confident of US consumers continuing to buy diesel models, though. We'll be able to see the real effects of VW and Audi's ban in a few months because the 2016 Ward's 10 Best Engines will be published December 10. With two major automakers out of the running, their rivals will likely greet this as a better chance to make the grade.

Volkswagen taps Porsche chief for board

Matthias Mueller was promoted to the top position at Porsche in 2010 after a successful stint of developing model lines during his 36 years with the company, mainly at Audi. Having shown the same prowess while overseeing Porsche for the past five years, German outlet Frankfurter Allgemeine Zeitung reports that Mueller will be promoted to the management board of the Volkswagen Group, according to a leaked copy of an agenda for the meeting. It's said that a new spot is being created for him, one that will put him in charge of "overseeing cooperation" among Audi, Bentley, Bugatti, Lamborghini, and Porsche. While other group executives are known to hold positions on the board and with brands, or across brands, it isn't clear yet whether Mueller will keep his spot at the CEO of Porsche after the promotion. One thing that is certain is the 61-year-old Mueller doesn't see himself in line for Volkswagen Group CEO Martin Winterkorn's job in 2016, having told FAZ this month, "It's no solution to put a 63-year-old at the head of Volkswagen." News Source: Reuters, Automotive News - sub. req.Image Credit: Geoff Robins/AFP/Getty Images Hirings/Firings/Layoffs Porsche Volkswagen Performance volkswagen group matthias mueller promotion

U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.