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VW and partner SAIC start building $2.5B Audi plant in China

BEIJING — Volkswagen AG's China joint venture with SAIC Motor Corp has started building a $2.5 billion new energy vehicle (NEV) plant in Shanghai, which will make VW's luxury Audi brand cars, a possible first for the venture. The new plant is a key step for Audi to diversify production of its cars in the world's largest car market from its long-standing local partner, China FAW Group Corp. This shift has been delayed amid resistance from local dealers. SAIC Volkswagen said the new plant would have an annual capacity to make 300,000 cars and begin production from 2020. Audi sold 481,387 vehicles in China from January to September this year. The announcement comes the same week Tesla secured a Shanghai location for a Gigafactory battery plant to serve the Chinese market. Audi unveiled the plan to bolster ties with SAIC in late 2016. Earlier this year, the Germany luxury carmaker bought a 1 percent stake in the SAIC Volkswagen venture, paving the way for the joint venture to produce and sell Audi cars. Volkswagen currently gets a larger proportion of the proceeds from the 50-50 tie-up with SAIC than from its 40 percent stake in the venture with FAW. SAIC Volkswagen said in a statement on Friday the plant would cost 17 billion yuan ($2.5 billion) and would make VW and Skoda models as well as Audi cars. It will help VW tap China's fast-growing market for NEVs, a category comprising electric battery cars and plug-in electric hybrid vehicles. ($1 = 6.9314 Chinese yuan renminbi) Reporting by Yilei Sun and Adam JourdanRelated Video: Image Credit: Reuters Green Plants/Manufacturing Audi Volkswagen Skoda Electric Hybrid

Daily Driver: 2016 Audi A7

Daily Driver videos are micro-reviews of vehicles in theAutoblog test fleet, reviewed by the staffers who drive them every day. Today's Daily Driver features the 2016 Audi A6, reviewed by Seyth Miersma. You can watch the video above or read a transcript below. Watch more Autoblog videos at /videos. Show full video transcript text Hey, all. This is Seyth with Autoblog, and I'm in the 2016 Audi A7 3.0. It's interesting, initially, I thought that I wouldn't do any kind of video review on this car because I've already done reviews on the Audi RS7 and the Audi S7. I didn't want to be overly heavy handed on the Audi A7 range, but I thought I'd at least do a quick update because it's a little bit interesting to compare and contrast all three versions of the car. This A7 has got a supercharged 3.0-liter V6 engine. It makes 333 horsepower, 325 pound-feet of torque. The MSRP starts around $69,000 when you factor in the destination charge. The one that I'm driving is right around $78,000. You look around the cabin, and you see typically nice Audi fare. It definitely feels like you're in a high-end car. Compare that to the S7, and you lose about 120 horsepower, and you add to that sticker price around $14,000. Move up to the RS7, which if you'll remember I characterized as a supercar with a hatchback, you're down way more than 200 horsepower and right around $35,000. When you take the step down especially in power you expect that the performance is not only going to lag but might be a little bit disappointing being as I was in the fancier ones first. The truth is after all these miles, this car is really fantastic especially the RS7. It really surprised me with its ability to combine just crazy good performance with great livability, never overly harsh, not a lot of impact noises. The suspension didn't beat you up. All that is obviously true of this A7 too. You don't have that top end and maybe not all of the outright ability, but it still feels very capable and a lot of fun to drive when you want to push it. You get a powerful V6, which makes the car feel pretty damn fast. Now as I'm speeding along here, I don't get the same sort of aural enjoyment from this car as I do from the V8s. Those guys just sound crazy good especially when you're really getting into it. The V6 you really got to work at to hear even, but it's satisfying, and it just feels nice and light and powerful when you're going down the road.

Audi debuts all-new R18 E-Tron Quattro with novel secondary hybrid system

This is the new Audi R18. It looks like the Bond villain of race cars (it has red running lamps), and if Audi's past is any indication, it'll prove difficult to beat in the LMP1 class of the 2014 World Endurance Championship.
The car's full name is the Audi R18 E-Tron Quattro, just like last year's car. Also like last year's car, the new R18 draws its power from a V6 turbodiesel, which powers its rear wheels, and Audi's E-Tron hybrid system, which runs its front axle. Unlike last year's car, though, this R18 has a secondary hybrid system. Audi has fitted the V6 with an electric turbocharger and figured out how to capture waste heat generated when the engine reaches its boost limit. That power can then be stored and fed back into either the turbo or the front axle's hybrid system under acceleration.
There are a number of changes to the body on the new car, forced in large part by series regulation changes. The car is narrower, particularly at the front, but it's also taller. The front end is set off by a new wing, as part of a new WEC regulation. Audi seems quite pleased about this, citing an improvement in front-end downforce and a reduction in cost. Like Formula One, the WEC contenders now have to contend with a ban on the so-called blown diffuser, which forced exhaust gases over the diffuser, creating downforce. That's necessitated some changes from Audi, although as we have no rear shots of the car, we can't tell you what it looks like.