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2014 Volkswagen XL1 [w/video]

World's Most Efficient Car Impresses, Not Without Compromises
Among our many duties at the recent Geneva Motor Show, we were offered a pretty exclusive drive in the new Volkswagen XL1 hyper-efficient plug-in diesel hybrid. There is so much that is interesting about a car like this reaching production from a major automaker that it's tough to know where to begin.
First off, you should know that - at least for this generation - there is absolutely no chance in Albuquerque that this "1-liter vehicle" (i.e. a vehicle that can burn just one liter of fuel to travel 100 kilometers, or 62.1 miles) will ever make it into the hands of North American customers. We, too, were having trouble imagining an XL1 in typical American traffic, surrounded by comparatively massive pickups and SUVs. The driving experience had us recalling a couple of weeks in 1999 when we drove the then-revolutionary Honda Insight hybrid on US roads. We keenly remember the feeling of being very small and vulnerable, even as we felt proudly green in our 61-mpg Tochigi pod. Thing is, the Volkswagen is smaller still, and nearly as light despite its more complex drivetrain and safety features.

U.S. tariff threat hits European automakers' stocks

FRANKFURT, Germany — A U.S. warning that it may introduce tariffs on foreign auto imports hit shares in German carmakers BMW, Daimler and Volkswagen on Thursday, which together have a more than 90 percent share of North America's premium car market. Washington said on Wednesday it had launched an investigation into whether car and truck imports are a national security issue due to signs they had damaged the U.S. auto industry. That could lead to new U.S. tariffs — up to 25 percent — similar to those imposed on imported steel and aluminum in March. BMW and Daimler shares fell as much as 3.1 percent in early Thursday trading, while Volkswagen's dropped as much as 2.5 percent. "(U.S. President) Donald Trump is obviously not thinking about how to prevent a trade war. Import duties on cars would be a nightmare for the German auto industry and would lead to a massive sales impact," said Thomas Altmann at Frankfurt-based asset manager QC Partners. BMW on Thursday condemned the move to consider tariffs. "The BMW Group is committed to free trade worldwide. Barrier-free access to markets is therefore a key factor not only for our business model, but also for growth welfare and employment throughout the global economy," it said. Daimler, which makes Mercedes-Benz cars, and Volkswagen, which makes upmarket Audis and Porsches, were not immediately available for comment. German carmakers produced 804,000 cars at local factories in the United States and exported 657,000 German-made cars into North America last year, according to German auto industry association VDA. China took pains on Thursday to welcome German firms and investments, with Premier Li Keqiang talking up relations after a meeting with German Chancellor Angela Merkel. BMW and Mercedes have expanded production capacity in the United States, but BMW, Audi, Volkswagen and Daimler have also invested billions to build new factories in Mexico in the hope of selling locally produced cars into the United States. German carmakers hiked vehicle production in Mexico by 46 percent to 620,000 cars last year, while production levels inside the United States fell by 6 percent to 804,000 cars because of a shift to Mexico, according to the VDA. BMW has its biggest factory worldwide in Spartanburg, South Carolina, and is the largest vehicle exporter among all the carmakers in the United States measured by value of goods exported. More than 70 percent of BMW's U.S.-made cars are exported.

US-spec 2015 Volkswagen Golf and GTI to finally debut in New York

The seventh-generation Volkswagen Golf is hardly new to us. In fact, we've already driven it. And elsewhere in the world, the new Golf is already winning awards. Even so, we still have yet to see the US-spec version of the car, though that won't be the case much longer. As part of the New York Auto Show festivities later this month, Volkswagen will finally show off the 2015 Golf models destined for our shores.
Three different versions of the Golf will debut under the lights of New York City's Javits Center: the turbocharged TSI, oil-sipping TDI and hotter GTI. The first model in that list uses Volkswagen's new 1.8-liter turbocharged inline four-cylinder engine, replacing the outgoing 2.5-liter naturally aspirated inline five-cylinder. The latter two models use familiar engines: the 2.0-liter TDI diesel and 2.0-liter turbocharged four-cylinder, respectively.
Even though the new Golf officially debuts later this month, it won't go on sale in the US until the first quarter of 2014. We'll be waiting patiently.