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Munich prosecutors expand Audi investigation

Munich prosecutors said they have widened an investigation at Audi to examine the carmaker's sales in Germany and elsewhere in Europe after the federal government accused the Volkswagen division of cheating on emissions tests in its home market. Audi on Thursday recalled around 24,000 older A7 and A8 models in Europe, 14,000 of which were sold in Germany, to update transmission software, which it said was causing nitrogen oxide (NOx) emissions to exceed EU limits. Munich prosecutors have been investigating Audi on suspicion of fraud and criminal advertising in the United States where parent Volkswagen's emissions scandal broke in September 2015. They have expanded the inquiry to include vehicle sales in the brand's home region, a spokesman for prosecutors said. Audi said late on Thursday that it would continue to fully cooperate with authorities and Germany's KBA motor vehicle authority, which the carmaker had notified about the latest emissions irregularities. The affected Audi models with so-called Euro-5 emission standards, and built between 2009 and 2013, emit about twice the legal NOx limits when the steering wheel is turned more than 15 degrees, the German transport ministry said. Prosecutors said the suspicion in the Audi investigation still centered on fraud, adding they have not yet received updated information from the KBA on the situation in Germany. Their investigation came to a head in March when prosecutors searched Audi's headquarters in Ingolstadt in connection with the emissions scandal, as well as a second German plant and subsequently even the law firm that VW had hired to clear up dieselgate.Related Video: Government/Legal Green Audi Emissions volkswagen diesel

BMW considering building 3 Series in North America

There might be even more BMWs coming from North America soon. The company recently announced plans to build a flagship crossover called the X7 at its Spartanburg, SC, factory. Now, rumors are emerging that the Bavarians might be thinking about building a second North American factory that could build its quick-selling 3 Series.
According to Bloomberg, the German luxury giant is considering several possible locations for a North American factory, including two in Mexico, that may build the 3. "We will decide this in the next months. On the North American continent, there's still potential," said BMW production boss, Harald Krueger, in an interview meant for company staff obtained by Bloomberg.
If BMW decides to open a plant in Mexico, it would be following its rival Audi, which already announced construction of a factory there. Mercedes-Benz has been rumored to be working on a deal with Nissan to build its cars South of the Border as well. Rumors of Bimmer considering Mexican production have also cropped up in the past, so it wouldn't come as a total surprise to hear it made official.

Audi Sport Quattro Concept speaks softly, carries a 700-hp stick

As promised, Audi has unveiled its Sport Quattro Concept here at the Frankfurt Motor Show, which takes inspiration from the 2010 Paris Motor Show debut known simply as the Quattro Concept. Both cars clearly seek to draw upon the company's legendary 1980 Ur-Quattro and its closely related Sport Quattro short-wheelbase rally special, yet this concept car looks more production-minded than the 2010 starlet.
Despite its more conservative duds, this handsome and muscular coupe actually packs significantly more power than the 2010 Paris showcar. In fact, it musters 700 horsepower and 590 pound-feet of torque from its plug-in hybrid powertrain, versus the Quattro Concept's more historically appropriate 2.5-liter five-cylinder turbo with 408 hp and 354 lb-ft. We're not going to complain about a twin-turbo 4.0-liter V8 plus an electric motor, nor will we grouse about its 3.7-second 0-62 mph dash, 190-mph top speed or 2.5 liters of fuel per 100 kilometers on the Euro cycle (roughly 94 miles per gallon US).
Stubborn rumors abound that Audi will offer a limited-edition version of this four-place coupe for sale, but for now, the company isn't talking. If such a model is offered, it's expected to cost significantly more than the R8 supercar, which might be a tough sell considering that vehicle's similar performance and more voluptuous - if less practical - shape.