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VW using other manufacturing locations as leverage in battle with TN [w/video]

We've reached a new step in the ongoing drama at Volkswagen's factory in Chattanooga, TN. The United Auto Workers recently dropped its opposition to the union vote and agreed that it wouldn't hold another ballot for at least a year. Now, the new question becomes where VW is going to build its forthcoming midsize SUV.
Earlier, it had been considered all but certain that the SUV, likely a production version of the CrossBlue concept (pictured above), would be built in Tennessee. However, it seems the Chattanooga factory might have competition to produce it. In emails obtained by The Detroit News, VW's lawyer wrote to the Tennessee economic development department in January saying, "While we understand there are some 'non-deal' issues that are causing a delay in the TN solution, VW has been successful in reaching agreement on terms at the alternative locations."
As previously reported, the state of Tennessee allegedly offered VW about $300 million in incentives to build the vehicle there and create an estimated 1,350 jobs, but it later rescinded the deal. Newly leaked documents from NewsChannel 5 (WTVF-TV) in Nashville allegedly show just how close that offer was to being completed. It appears that VW actually sent the government the first draft of a memorandum of understanding agreeing to the incentives, but the state removed the offer in late January.

VW, Suzuki mulling rekindling relationship in face of legal battle

Volkswagen and Suzuki have been undergoing marriage counseling in a bid to avoid finalizing their nasty divorce. The blissful union has been troubled for some time, with Volkswagen claiming that it could affect operational decisions at Suzuki, and the Japanese brand's sniping and constant flirting with a certain Italian temptress causing rifts.
The matter first went to court in 2012, when Suzuki demanded VW get out, and leave its 19.9-percent stake in the Japanese brand in a box to the left. Now, Automotive News is reporting that the company will give the relationship one last shot, according to closed-door dealings between the two in London.
Still, it's understood that VW and Suzuki recognize the benefit of their alliance, and that it'd be in the best interests of the kids both parties to make things work. Spokespeople declined to comment to AN, but the newsmagazine spoke with Frank Biller, an analyst for LBBW in Stuttgart, who said, "Both companies stand to benefit if they can overcome the disagreements over leadership claims."

Recharge Wrap-up: AutoNation CEO calls anti-Tesla laws unnecessary, Common Pence donates subway money

Volkswagen has presented a list of near-term technologies to improve fuel economy and decrease emissions. The list includes an addition to a coasting function in its stop-start system, a 10-speed DSG transmission and a more power-dense four-cylinder TDI engine. Volkswagen aims to be the world's most sustainable automaker by 2018 through electric mobility, improved design and increased environmental performance from internal combustion vehicles. Volkswagen also announced other technologies for increased interactivity and connectivity in its vehicles. Read more at Green Car Congress. Commence Pence is a system that allows subway riders in London to donate their unused transit money to charity. People visiting the city often load up enough on their subway card (called Oyster Card) to get them through their trip and end up with unused funds leftover. Zander Whitehurst, a British designer, has created a device that can use the card's RFID to accept leftover funds, which then get diverted to charity rather than reverting back to the agency in charge of running the subway fare system. See the video below or read more at Wired. Mike Jackson, CEO of AutoNation has called Michigan's efforts to ban Tesla's direct sales in the state "unnecessary protectionism." The statement comes as a bit of a surprise, as it dissents from the majority of auto dealers who support a franchise model, as well as laws that forbid automakers selling directly to the consumer. "If Elon Musk wants to make a mistake and go with an inefficient distribution system, that's his right as an American," says Jackson, showing he feels he has little to fear from the electric automaker. Jackson has more to say on the matter, which you can read over at Green Car Reports. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Featured Gallery Tesla Stores Around The World View 22 Photos News Source: Green Car Congress, Wired, Green Car ReportsImage Credit: Rick Bowmer / AP Government/Legal Green Tesla Volkswagen Fuel Efficiency Transportation Alternatives Electric recharge wrapup