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Volkswagen lays off 500 Chattanooga workers

The redesigned Volkswagen Passat has been a decent seller since its debut in 2011, but sales have apparently dropped off enough that the automaker is trimming some of the employees from its Chattanooga, TN assembly plant. According to Automotive News, Volkswagen will be cutting shifts and laying off 500 contracted workers in response to slowing sales.
Currently, the plant has three teams running 10-hour shifts Monday through Saturday, but starting May 13, this will be reduced down to two teams running 10-hour shifts Monday through Thursday. This will be done to reduce dealer inventory (the article says that VW dealers, on average, have a 97-day supply of Passats) and production capacity (currently running at an annual pace of 170,000 units, which is more than the 150,000 annual units the plant was planned to produce).
This, of course, isn't saying that the Passat has been a failure since VW added 200 full-time employees to the plant in February 2012 to keep up with increased demand. The AN article says that automakers frequently overstaff plants during the launch of a new product - or in this case, a new product and a new plant - but eventually reduce the workers as things run smoother and more efficiently.

Peugeot will prove it doesn't offer cheater diesels

Our diesels are clean, really. That's the message from French automaker PSA/Peugeot-Citroen as it plans to go on the offensive in response to Volkswagen's diesel-emissions scandal. PSA will go out of its way to prove its diesels are as clean as advertised. The company is looking at disclosing "real-world" fuel-economy statistics as soon as next spring and will use an independent entity to vet the numbers, Automotive News Europe says, citing comments that PSA/Peugeot-Citroen financial chief Jean-Baptiste de Chatillon made to reporters this week. Such efforts may be vital, since roughly two-thirds of the vehicles Peugeot-Citroen sells in Europe are powered by a diesel engine. Last month, VW admitted that as many as 11 million of its diesel-powered vehicles were programmed with software designed to cheat emissions-testing systems. The news shook up the industry, especially companies that sell a good chunk of diesels. The EU itself may start instituting "real world" fuel-economy and emissions testing as soon as 2017. French regulators have said they may eliminate diesel-fuel subsidies that currently make diesel fuel cheaper to customers than gas. That adjustment may occur as soon as next year, since it's been pushed up in response to the VW scandal. Peugeot-Citron continues to reiterate that it has never installed software that was designed to cheat emissions-testing systems. Additionally, the automaker was more than a decade ahead of European Union mandates for engine components designed to cut soot emissions, so the company is hoping its track record makes a difference. It wants to be perfectly clear about that. News Source: Automotive News Europe-sub.req.Image Credit: Cletus Awreetus/Flickr Green Volkswagen Citroen Peugeot Diesel Vehicles vw diesel scandal France psa peugeot citroen

Recharge Wrap-up: VW Golf TDI wins green car award, DC buses might go electric

The 2015 Volkswagen Golf TDI has won the award for 2014 Northwest Green Car or the Year. The distinction comes from the Northwest Automotive Press Association during its Drive Revolution event in Portland. Co-chairman of the event, Jeff Zurschmeide, says, "Volkswagen has led the diesel passenger car market for years, and the Golf TDI proves that they're likely to stay on top for a while." The 2015 Golf TDI has 10 more horsepower than the outgoing model, while improving fuel economy thanks to a new engine. It also has a base price $3,000 lower than the 2014 Golf TDI. Read more in the press release below. The BMW i8 gets its laser high-beam headlights from lighting company Osram. The laser lights use half the energy of their LED counterparts, according to BMW, which is important when one is trying to get every last bit of range out of the car's battery. The laser high beams can also reach about twice as far as LED lighting. Because of their brightness, they won't be available on cars sold in the US. In laser-equipped i8s, the laser high beams will not work below 60 kilometers per hour, nor when other lights are detected in front of the vehicle. Head to Automotive News Europe to read more. Renault has delivered a fleet of 30 Kangoo ZEs to Uruguay's government-owned power company, UTE. The electric fleet will allow the company to reduce its CO2 emissions by 36 metric tons, says Renault. 84 percent of Uruguay's electricity comes from renewable sources, with a goal of 90 percent on the horizon. Uruguay aims to get a third of its electricity from wind farms by 2016, meaning these Kangoo ZEs will be powered in no small part by renewable energy. For Renault, "This order is a further sign of the interest in the region for electric vehicles," according to Denis Barbier, Renault's senior vice president, citing previous deliveries in Brazil, Mexico, Argentina and Colombia. Read more in the press release at Renault's website. Washington DC's "Circulator" bus routes may go electric. Some of the diesel buses, which were first put to work in 2003, are nearing the end of their life cycle, and DC sees an opportunity to make the switch to something a little greener. "Electric has not been a viable option in previous procurements, but now it is," says Will Handsfield, Georgetown Business Improvement District's transportation director. Handsfield is concerned about air quality, and says he also appreciates the long-term stability of electric rates compared to diesel.