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VW pondering low-cost sub-brand for China?

More detail is being sketched into the Volkswagen Group's plan to launch a low-cost brand for emerging markets. Late last year a German report quoted a VW rep saying that the brand has been interested in building a no-frills car, the kind that would challenge Dacia and Datsun, for a while. With both Proton and Suzuki effectively out of the partnership picture, a report in Reuters suggests VW could go straight to China, developing a car with its joint venture partners and building and selling it there.
Officially, company CEO Martin Winterkorn said the issue of a model for emerging markets would be decided this year but VW isn't any closer to confirming any kind of plan for a car in its portfolio underneath the Up!, remarking to Reuters about the China possibility, "That's an issue we're currently looking at."

French probe alleges 2 million PSA cars had engine cheats

PARIS — A French investigation into alleged emissions cheating by PSA Group found that suspect software had been used on almost 2 million vehicles sold by the maker of Peugeot and Citroen cars, Le Monde reported on Friday. Paris-based PSA denies any use of fraudulent engine software, a spokesman said in response to the newspaper report, which sent PSA shares sharply lower. The stock was down 4.4 percent at 17.78 euros as of 1019 GMT. So-called "defeat devices" restrict exhaust output of toxic nitrogen oxides (NOx) under regulatory test conditions while letting emissions far exceed legal limits in real-world driving. In February, PSA became the fourth carmaker to be referred to French prosecutors by the country's DGCCRF watchdog over suspected emissions test-cheating, after Volkswagen, Renault and Fiat Chrysler. PSA's engineering chief acknowledged at the time that emissions treatment in the group's diesels was deliberately reduced at higher temperatures to improve fuel efficiency and carbon dioxide (CO2) emissions in out-of-town driving, where NOx output is considered less critical. According to Le Monde, an internal PSA document obtained by DGCCRF investigators includes discussion of the need to "make the 'defeat device' aspect less obvious and visible." However PSA insists there is nothing fraudulent or illegal about its engine calibrations. "PSA denies any fraud and firmly reaffirms the pertinence of its technology decisions," the company said on Friday. Reporting by Laurence FrostRelated Video: Image Credit: Getty Government/Legal Green Volkswagen Citroen Peugeot Emissions Diesel Vehicles dieselgate volkswagen diesel

Dyno run hints VW GTI power might be significantly underrated

Are you one of the lucky owners of the 2015 Volkswagen GTI? If yes, you should be happy, because your 210- or 220-horsepower hot hatchback might actually have more like 260 ponies under its hood. That's according to a dyno test from a vendor on, of all places, a Ford Focus ST enthusiast forum. The company is estimating a 15-percent drivetrain loss with the GTI's best result a whopping 263 horsepower and 314 pound-feet of torque at the crank. That's a tremendous difference from the 210 hp and 258 lb-ft of torque that Volkswagen claims. Of course, this is merely one dyno session on one car. We'll have to wait until more 2015 GTI owners get on the rolling road to see if Volkswagen really was as conservative about its hot hatch's output as FocusST.org claims. Featured Gallery 2015 Volkswagen GTI: First Drive View 32 Photos News Source: FocusST.orgImage Credit: Copyright 2015 AOL Volkswagen Hatchback Economy Cars Performance vw gti dyno