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VW may move production because of Russia's cutoff of natural gas

Volkswagen AG is exploring ways to counter a shortage in natural gas, including shifting production around its network of global facilities, signaling how the energy crisis unleashed by Russia’s invasion of Ukraine threatens to upend EuropeÂ’s industrial landscape. Volkswagen, EuropeÂ’s biggest carmaker, said Thursday that reallocating some of its production was one of the options available in the medium term if gas shortages last much beyond this winter. The company has major factories in Germany, the Czech Republic and Slovakia, which are among European countries most reliant on Russian gas, as well as facilities in southern Europe that source energy from elsewhere. “As mid-term alternatives, we are focusing on greater localization, relocation of manufacturing capacity, or technical alternatives, similar to what is already common practice in the context of challenges related to semiconductor shortages and other recent supply chain disruptions,” Geng Wu, VolkswagenÂ’s head of purchasing, said in a statement.  RussiaÂ’s decision to throttle gas supplies to Europe has raised concerns that Germany might be forced to ration its fuel. Recent news that gas storage levels hit 90% ahead of schedule has soothed fears of acute shortages this winter, but Germany faces a challenge in replenishing depleted reserves next summer without contributions from Russia. Southwestern Europe or coastal zones of northern Europe, both of which have better access to seaborne liquefied natural gas cargoes, could be the beneficiaries of any production shift, a Volkswagen spokesman said by phone. The Volkswagen group already operates car factories in Portugal, Spain and Belgium, countries that host LNG terminals. Labor hurdles To be sure, any major production shift away from EuropeÂ’s biggest economy would face significant hurdles. VW has some 295,000 employees in Germany and worker representatives account for around half the companyÂ’s 20-member supervisory board. Any shift in production would likely involve a limited number of vehicles rather than wholesale factory shutdowns. While gas supplies for VWÂ’s plants are currently secured, the company has identified potential savings at its European sites to cut gas consumption by a “mid-double-digit percentage,” said Michael Heinemann, managing director of VWÂ’s power-plant unit. Still, the carmaker said it was concerned about the effect high gas prices could have on its suppliers.

Audi SQ7 spied for the first time

Audi isn't really hiding that its engineers are hard at work on a high-performance version of the latest Q7. However, we haven't seen any of the fruits of this labor, until we got these fresh spy shots of the SQ7. With seemingly no camouflage on the car, these photos might give a very good idea of what to expect from Audi's speedy SUV. One big tip-off of the model's performance aspirations is the redesign of the front end's lower portion. New ducts beside the foglights send cool air to what appear to be intercoolers. This test model rides on a very cool-looking set of basket-weave style wheels, and the big, cross-drilled brakes are easy to spot behind them. At the rear, the quad exhaust tips also signal something special. Our spies also snapped some shots of the interior. If there is any question about whether this is the SQ7, these photos certainly assuage it. The badging is plain as day on the gauges, but at this point the changes appear to be fairly minimal beyond that. We know the SQ7 is going to get more power, but the method isn't officially confirmed yet. Although, Audi technical boss Dr. Ulrich Hackenberg said bluntly last year that it would use an electrically turbocharged engine, possibly an evolution of the V6 diesel in the RS5 TDI Concept. Hackenberg also suggested that the SQ7 would go on sale in 2016. Though, the actual debut might come earlier. Regardless, the tweaks should make the SUV quite a performer. Even on the standard version, it weighs 700 pounds less than the previous generation, while remaining about the same size.

Nokia Here Purchased by BMW, Audi, Daimler | Autoblog Minute

In a three company partnership the German automakers BMW, Audi and Daimler are set to take ownership of Nokia?s Here mapping technology. Audi BMW Autoblog Minute Videos Original Video Nokia nokia here