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MotorWeek looks back at the 1986.5 VW Scirocco 16V

It's back to the past with MotorWeek for a video dive into the 1986.5 Volkswagen Scirocco 16V, the coupe that carried the pennant for VW's performance aspirations for 15 years, from 1974 to 1989. This one, the last generation, got the hottest of all by adding a head with four valves per cylinder. The 1.8-liter DOHC engine cranked out "an amazing" 123 horsepower and 120 pound-feet of torque, and made this model the fastest VW to ever be sold in America; it went from 0 to 60 miles per hour in 8.5 seconds, faster than a Porsche 944. To compare vintage apples to modern ones, the New Scirocco with a 123-hp 1.4-liter TSI engine and a manual transmission takes 9.3 seconds. We like MotorWeek's Retro Review series not only for the cars, but for how they also remind us of what we used to find important in cars. The Scirocco here gets upvoted for its throttle response and handling, downvoted for an oddly placed oil pressure gauge and lack of battery voltage meter. We can't remember the last time a voltage meter was mentioned in a review, either its presence or lack. Check out the video above for what the definition of "US hot hatch" used to be.

VW budget sub-brand stuck in limbo over VW standards, costs

Reports in October 2012 claimed Volkswagen had begun investigating the creation of its own budget brand. This came after having failed to purchase Malaysian car company Proton or produce a meaningful partnership with Suzuki, and after watching Renault-Nissan make piles of euro on Dacia and plot the return of Datsun.
For VW, more important than the question of what to call it was how to build it profitably and in a way that didn't damage the VW brand. According to a report in Autocar, a satisfactory answer still hasn't been found. The hurdle is how to hit "'necessary' quality and safety levels" at the price points needed to make the venture worthwhile. At the time of the 2012 report, German outlet Der Spiegel said VW was trying to get prices down to 6,000 to 8,000 euro ($7,784 to $10,379 US), about two thousand to four thousand euro under the price of the VW Up and in line with the cost of a 6,790-euro Dacia Sandero in Germany.
In March 2013, VW announced, "We want to bring a true budget car to the market in China in the foreseeable future," the most concrete move in that direction after years of planning to make a decision. Working with local Chinese maker FAW, it was predicted that the vehicle in question would appear around 2016, but as of November last year a final vote on it needed to wait until this year because "We are still working on the cost side" and profit possibilities for a car that "has to be durable, it has to be precise, it has to be safe."

Italian investigators search Lambo headquarters in VW probe

Italian investigators searched Lamborghini headquarters on Oct. 15 to look for evidence of managers' involvement in Volkswagen's emissions cheating. VW's main office in Verona was also inspected, according to Reuters. Lamborghini is owned by Volkswagen, and Lambo in turn is listed as the owner of VW Group Italia. Authorities wanted to find out if employees were conscious that the vehicles were skirting emissions rules. "It is one thing if I sell water and pretend it's wine, but if I sell water believing it is wine it's different." Verona chief prosecutor Mario Giulio Schinaia said to Reuters. Italian newspaper Gazetta del Sud reported that several managers in Italy were under investigation for alleged fraud. Prosecutors in Germany have also been rigorously investigating VW, and they recently staged a similar raid on the company's headquarters in Wolfsburg, Germany. The automaker reportedly turned over documents and other data relating to the software defeat device. Meanwhile, VW's internal investigation has turned up little wrongdoing, though a recent leak suggested otherwise, and at least 30 managers could have known about the defeat device. The automaker has disputed that figure. Volkswagen of America CEO Michael Horn testified before Congress that he believed only a few individuals were involved. The situation hasn't been easy on VW in the US, either. The Department of Justice has also been pursuing an investigation into the automaker. Plus, state attorneys general are filing lawsuits against the company for defrauding customers. VW has until Nov. 20 to explain a repair for the problem to the California Air Resources Board. Related Video: