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VW Group recalls 27k Touaregs, Audis and Porsches for fuel leak

The Volkswagen Group is one of the most expansive in the entire industry, and shares parts across more product lines than we could wrap our heads around. So when the German megalith finds a fault in one of its components, it has the capacity to spread like wildfire. The latest set of recall notices from the National Highway Traffic Safety Administration covers vehicles from the Volkswagen, Audi and Porsche divisions. The problem revolves around the fuel injection system, which could potentially leak and cause a fire. The recall affects – deep breath now – the 2012 VW Touareg Hybrid, the 2011-12 Porsche Cayenne S Hybrid and Panamera S Hybrid, 2011-12 Audi S4, S5 and Q7 and the 2012-13 Audi A7. All told, that amounts to 27,376 units, the owners of which can expect to hear from the manufacturer to have the fuel rails replaced, along with their corresponding seals (having nothing to do with marine mammals writing letters). RECALL Subject : Fuel Injection System Fuel Leak Report Receipt Date: JAN 20, 2015 NHTSA Campaign Number: 15V019000 Component(s): FUEL SYSTEM, GASOLINE Potential Number of Units Affected: 26,008 Manufacturer: Volkswagen Group of America, Inc. SUMMARY: Volkswagen Group of America, Inc. (Volkswagen) is recalling certain model year 2011-2012 Audi S4, S5, Q7, 2012 Audi A6, Volkswagen Touareg Hybrid, and 2012-2013 Audi A7 vehicles. In the affected vehicles the fuel injection system may experience a fuel leak. CONSEQUENCE: A fuel leak in the injection system in the presence of an ignition source, increases the risk of a fire. REMEDY: Volkswagen will notify owners, and dealers will replace the fuel rails and corresponding seals, free of charge. The recall is expected to begin March 10, 2015. Owners may contact Audi customer service at 1-800-822-2834 or Volkswagen customer service at 1-800-893-5298. Volkswagen's numbers for this recall are 24AP for Audi customers and 24BK for Volkswagen customers. NOTES: Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to www.safercar.gov. ### RECALL Subject : Fuel Injection System may Leak Report Receipt Date: JAN 20, 2015 NHTSA Campaign Number: 15V016000 Component(s): ENGINE AND ENGINE COOLING Potential Number of Units Affected: 1,368 Manufacturer: Porsche Cars North America, Inc. SUMMARY: Porsche Cars North America, Inc.

Volkswagen might cut 40 models across brands to save cash

Volkswagen once set out to pass Toyota and General Motors and become the largest automaker in the world. Following months of fallout from the diesel emissions scandal, the manufacturer is rumored to be dropping around 40 models from its company-wide lineup. According to German business and finance publication Handelsblatt, the Volkswagen Group is looking to slim down and remove a number of low-volume vehicles from various lineups. The company currently sells around 340 models across brands that include Audi, Lamborghini, and Bentley. Volkswagen is refusing to comment, but Handelsblatt claims to have sources within the company. Last week, Volkswagen Group CEO Matthias Muller announced a new strategy for the company that includes a major focus on electric vehicles and new technology services. During his announcement, Muller said the company would be cutting a number of models, but at the time no numbers, models, or brands were discussed. Despite comments to the contrary, rumors have persisted since late last year that Volkswagen was looking to sell commercial truck and bus manufacturer MAN. Volkswagen owns truck and bus manufacturer Scania, so even if it dropped MAN, the company would still have a foothold within the bus and truck market. There is also talk of the company selling Italian motorcycle manufacturer Ducati, which Volkswagen acquired via Audi in 2012. The company's image has taken a huge hit in the wake of the diesel scandal. Volkswagen has set aside cash in order to pay fines and may be looking to sell these several subsidiaries and cut low-volume models in order offset the costs. Despite the scandal, the company led worldwide sales in the first quarter of 2016. The same was true in 2015, but sales tanked at the end of the year following the diesel revelations. Related Video: Rumormill Audi Bentley Volkswagen Ducati

Volkswagen feuds with thriving stablemate Skoda

BERLIN, Oct 4 (Reuters) - Volkswagen managers and unions are seeking to curb competition from lower-cost stablemate Skoda, move some of its production to Germany and make the Czech brand pay more for shared technology, company sources told Reuters. As VW struggles to cut jobs and spending at German factories and turn the page on dieselgate, Skoda's superior car reviews and profitability have intensified the brands' rivalry within the Volkswagen empire. VW now wants to reduce what it sees as Skoda's unfair advantages - combining German technology with cheaper labor - and reaffirm the top-selling brand's primacy ahead of a wave of new electric car launches, the sources said. The tussle between VW and Skoda is reviving tensions at the heart of the Volkswagen group between profits and jobs, and between central control and autonomy for its 12 vehicle brands. "Instead of devoting our efforts to beating Tesla, we may just be setting up a futile internal conflict," said one manager. Once the butt of jokes, Skoda has blossomed under 26 years of VW group ownership into a successful mid-market carmaker, steadily winning business from rivals - including VW - and surpassing even Audi's operating profit margin last year. At the same time, VW is facing thousands of job cuts as management moves to trim excess capacity at German factories. Its powerful domestic unions see Skoda's success as both a threat and a potential lifeline. VW workers' representatives are now demanding the transfer of some Skoda production to their underused German plants, a source close to the supervisory board told Reuters. The proposal aims to offset declining output of the VW Passat and aging Golf that could otherwise threaten more jobs. They are also making the case that Skoda should pay higher royalties to use VW's main common vehicle platform. The so-called MQB architecture also underpins mid-sized models from the group's Audi and SEAT brands. Responding to the news, Czech Prime Minister Bohuslav Sobotka said he would meet Skoda management and unions to ask for clarification. The government will seek to ensure that VW investment plans are followed through and that "production is not moved outside the country," a statement released by Sobotka's office said. Skoda's main union warned that a production shift could cost as many as 2,000 jobs. VW's works council declined to comment.