1966 Volkswagen Beetle - Classic on 2040-cars

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The UK votes for Brexit and it will impact automakers

It's the first morning after the United Kingdom voted for what's become known as Brexit – that is, to leave the European Union and its tariff-free internal market. Now begins a two-year process in which the UK will have to negotiate with the rest of the EU trading bloc, which is its largest export market, about many things. One of them may be tariffs, and that could severely impact any automaker that builds cars in the UK. This doesn't just mean companies that you think of as British, like Mini and Jaguar. Both of those automakers are owned by foreign companies, incidentally. Mini and Rolls-Royce are owned by BMW, Jaguar and Land Rover by Tata Motors of India, and Bentley by the VW Group. Many other automakers produce cars in the UK for sale within that country and also export to the EU. Tariffs could damage the profits of each of these companies, and perhaps cause them to shift manufacturing out of the UK, significantly damaging the country's resurgent manufacturing industry. Autonews Europe dug up some interesting numbers on that last point. Nissan, the country's second-largest auto producer, builds 475k or so cars in the UK but the vast majority are sent abroad. Toyota built 190k cars last year in Britain, of which 75 percent went to the EU and just 10 percent were sold in the country. Investors are skittish at the news. The value of the pound sterling has plummeted by 8 percent as of this writing, at one point yesterday reaching levels not seen since 1985. Shares at Tata Motors, which counts Jaguar and Land Rover as bright jewels in its portfolio, were off by nearly 12 percent according to Autonews Europe. So what happens next? No one's terribly sure, although the feeling seems to be that the jilted EU will impost tariffs of up to 10 percent on UK exports. It's likely that the UK will reciprocate, and thus it'll be more expensive to buy a European-made car in the UK. Both situations will likely negatively affect the country, as both production of new cars and sales to UK consumers will both fall. Evercore Automotive Research figures the combined damage will be roughly $9b in lost profits to automakers, and an as-of-yet unquantified impact on auto production jobs. Perhaps the EU's leaders in Brussels will be in a better mood in two years, and the process won't devolve into a trade war. In the immediate wake of the Brexit vote, though, the mood is grim, the EU leadership is angry, and investors are spooked.

2015 Volkswagen Golf R [w/video]

Volkswagen hired a photographer to come shoot the handful of journalists that it brought to drive the 2015 Golf R at Buttonwillow Raceway north of Los Angeles. This fact, though unremarkable in and of itself, was something I hadn't noticed until I was well into my track time – probably ten laps deep on a day that would see me run twice that number. In any event, I noticed the intrepid shooter as he was sprinting from one side of the track to the other somewhere before Turn 2, while I was barreling down the main straightaway, still looking through Turn 1. In the roughly two-mile configuration of the track that I drove, Buttonwillow is a big, wide-open circuit, largely flat and with excellent overall visibility. On that layout, and just hours into my Golf R experience, I'd already become confident in endeavoring to push the limits of VW's latest blistering hatch. In fact, the easy nature of driving the thing quickly had me overestimating my pace. So when I saw the photog sprint across the tarmac I instinctively slowed way too much, way too early for Turn 1. Looking back at the incident after I'd pitted for the session, I laughed at myself, knowing I'd have had to be driving almost double my actual speed to put the camera guy in any real danger of being hit. But the experience crystallized what my full test of the R bore out: this is a car that makes you feel much faster than you otherwise would, at least in a competition setting. The 2015 Golf R is an uber hatch that will flatter those hyper-enthusiasts passionate enough to splash out on its steep price tag, but without threatening sales of core models like the GTI and its ilk. That's a good thing for the VW fanboys, to be sure, and, I'd argue, a great thing for the strength of the German brand overall. {C} The R felt both placid and comfortable while I clicked off highway miles in search of the racetrack. My test in California had at least two things in common with the First Drive feature that Steve Ewing brought us with the Golf R in Sweden. First, we both drove European specification cars (though mine didn't suffer from the same sticker abuse that Steve's did). Second, we were both somewhat limited in terms of driving the car in varied, real-world situations. My street route consisted almost entirely of tracking California's I-5 north out of Los Angeles; which any Angelino will tell you is a less-than-riveting mode of travel.

2014 VW Golf brings storied hatchback's seventh generation to US

The seventh-generation Volkswagen Golf in US-specification officially debuts at the 2013 New York Auto Show. The new model is the first VW in the States to ride on the company's MQB architecture, and as such, it makes use of plenty of high-strength and ultra-high-strength steel to keep weight down. All told, the new shell is 51 pounds lighter than the outgoing generation, despite the fact that the finished car is a full 2.2 inches longer and .5 inches wider than the 2013 model.
Buyers can expect to find a base model powered by a 1.8-liter turbocharged four-cylinder engine (blue car above) with 170 horsepower and 184 pound-feet of torque. That means the powerplant delivers the same horsepower as the old naturally aspirated 2.5-liter four-cylinder while weighing less and producing seven extra pound-feet of torque. TDI (silver car above) buyers, meanwhile, will enjoy a new 2.0-liter turbo diesel four-cylinder mill. VW says the engine yields 10 more horsepower than the old lump, which means the Golf TDI now boasts 150 hp and 236 lb-ft of torque.
GTI (red car above) buyers will now get their hands on a revised 2.0-liter turbocharged four-cylinder with approximately 210 hp and 258 lb-ft of torque - Volkswagen hasn't finalized power numbers for that machine. We're happy to see that the GTI still features its trademark plaid seats. Volkswagen says the new Golf and GTI will go on sale as a 2015 model, but doesn't say when the car will actually hit dealerships.