2004 - Volkswagen Touareg on 2040-cars

Auto blog

VW Chattanooga plant very close to UAW representation

After months of fighting from both sides, it looks like the Volkswagen factory in Chattanooga, TN, might unionize under the United Auto Workers after all. According to a letter acquired by The Associated Press, VW and the UAW reportedly struck a deal last spring where the union agreed to stop its challenge of the organization vote with the National Labor Relations Board to help clear the way for the CrossBlue to be produced in Tennessee. In exchange, the automaker would recognize the UAW at the plant. Leaders of the Local 42 at the facility reportedly signed the letter.
It seems that such an agreement would clear the way for the factory to unionize after months of dispute. According to The Detroit News, under Tennessee law, workers aren't required to join the organization. Although, that might not be a problem. As of a few months ago, Local 42 already claimed to have signed around 700 of the plant's roughly 1,500 workers.
Controversy has constantly swirled around the possible unionization at the Chattanooga plant. The UAW held its official decision in February and lost 712 to 626. However, there were allegations of intense political pressure to make sure the ballot failed. A later report also found that VW was offered $300 million in incentives well before the vote to make sure things progressed to the "satisfaction of the State of Tennessee," but the deal was later retracted. In July, the UAW opened Local 42 on the campus in hopes of signing up a majority of the workforce by volunteering to be a part of it.

VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.

Volkswagen considering a four-door, four-seat XL1

According to a report in Autocar, Volkswagen might have more in mind for the XL1 than mining it for advances to grace the next-generation Golf. Aiming to fight the Honda FCEV due for public consumption next year, we're told VW executives have put a four-door, four-seater version of the XL1 - it could be called XL2 - on the drawing board. The impetus is said to come from the top, with VW Group chairman Ferdinand Piëch intent on staying in the deep end of "super-efficent vehicles."
Autocar suspects the necessary changes could raise the weight of the car from 1,749 pounds to 2,068 pounds, which would make it four pounds less than the 2,072-pound Up! we drove a few years ago. Crucially, however, the mag thinks the extra capacity wouldn't change the two-seater's 310-mile-per-gallon rating, with tech tweaks and the aerodynamic benefit of a longer car offsetting the weight. Speculation is that the back seats would be staggered like the fronts in order to maintain the XL1's overall profile.
We recently heard about another XL1 variant that's gone off the radar entirely, the Ducati-engined XLR that we thought we'd see at the Geneva Motor Show and that was said to be going into production, so this one could go the same way. The biggest hurdle to making such an idea a reality, though, could be the price: the current XL1 costs 110,000 euros ($146,116). If VW really is going to compete with the Honda FCEV and the Toyota FCV - $70,000 in Japan - that might be where it wants to start.