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2016 Audi A3 Sportback E-Tron First Drive

While its parent company is still in the throes of an emissions scandal that has thrust the "green" credentials of automakers worldwide under the microscope, Audi is launching its first plug-in hybrid in the US. Audi is ready to double down on its electrified future, putting up its own reputation as collateral. This A3 Sportback E-Tron – a vehicle we've sampled in prototype form – is a tech-savvy plug-in car that could be the perfect vehicle to mark the brand's new commitment to an electric lifestyle. Straightaway, Audi USA President Scott Keogh addressed the TDI situation. He says he and the rest of the company are "shocked, followed by appalled, followed by anger, and now in the phase of drop-dead determination to make this thing right." Out of the 500,000 affected 2.0-liter TDI engines around the world, 14,000 are in Audis: about 3,000 A3 TDI sedans and about 11,000 A3 TDI Sportbacks. "It's quite simple. CARB and the EPA have told us these cars can stay on the road, they will stay on the road until we have a fix, and when we have a fix, we will absolutely fix these cars." The most important thing going forward, Keogh says, is regaining the trust of both the dealers and customers. Audi has been enjoying a bit of momentum in recent years, building a reputation for itself along the way. Audi came on the scene in the US in 1969, but it took until 2010 for the company to sell 100,000 units in a single year. Now, "In 2015, we're starting to look down the barrel of nearly doubling our sales in five years," says Keogh. The A3 achieves a 40-percent segment share, and for 75 percent of those buyers, it is their first purchase of a luxury brand. But as its own pace increases, the momentum of the industry as a whole has pulled Audi toward this foray into electromobility. Enter the A3 Sportback E-Tron. There's a little extra weight from the battery pack, but the suspension does a good job of keeping it unnoticeable while driving. The A3 E-Tron has several strengths working in its favor. First of all, as Keogh puts it, the hatchback is a "real, proper Audi – a real, proper, fully rounded driving machine." Qualifications such as "this is an electric car" don't matter. "People just want to buy a car," he says. It has the technology, build quality, and drivability of an Audi.

Lamborghini agrees to produce Urus in Italy

The Lamborghini Urus is apparently on the way, and it looks like it will be built in Italy. The news comes from Bloomberg, which claims Lambo CEO Stephan Winkelmann and Audi CEO Rupert Stadler will be joined by Italian Prime Minister Matteo Renzi on Wednesday to announce a series of tax breaks to bring SUV production to Italy. The report cites multiple "people familiar with the matter." The details of the deal include up to 500 new jobs in exchange for $87 million in tax breaks along with "other benefits," according to Bloomberg. Just over a year ago, it was looking like Urus production was headed for Slovakia, where it'd be built alongside its MLB platform-mates, the Audi Q7, Volkswagen Touareg, and Porsche Cayenne. News of Italy's bid surfaced this spring. We'll be sure to keep an eye out for any official news as it becomes available. Related Video:

Audi S3 with manual transmission still on table for US

The fine folks at Fourtitude recently sat down with Audi of America President Scott Keogh, and among other things, learned that the potent little S3 sedan could be offered with a manual transmission in the United States someday. That sort of sounds like the usual company line to us, but Keogh reportedly said the company is "looking very closely" at adding the manual to the S3, which currently is only available with a dual-clutch automatic.
Fourtitude also brought up the possibility of a hotter RS3 - a vehicle we've seen testing before, as a hatchback. We don't doubt that this more potent compact is already a done deal, but Keogh reportedly mentioned that the sedan will get this treatment. An RS3 for the US? Sign us up, for sure.
Head over to the Audi enthusiast site to read more from their talk with the company's US boss.