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Volkswagen's 261-mpg hand-built XL1 headed for Geneva

After years of rumors, development and testing, the Volkswagen XL1 is finally about to become a reality. The project that began life as a daring 1-Liter concept car in 2002, will finally get its production-ready curtain call at the Geneva Motor Show in just a few weeks.
As soon as it hits the streets, the two-seat XL1 will instantly become the most fuel-efficient and most aerodynamic production car in the world. The car uses a plug-in hybrid system to achieve mind-blowing consumption of just 0.9 liters of diesel fuel consumed every 100 kilometers (and average of roughly 261 miles per gallon). Plus, the XL1 can go up to 50 kilometers on its battery power alone. Coefficient of drag is a miniscule 0.189, thanks to a tiny frontal area and an obviously slippery shape.
XL1 power comes from a two-cylinder diesel motor connected to a seven-speed dual-clutch gearbox, while the 20 kW electric motor is fed by a lithium-ion battery. Both combine to give the XL1 performance figures that are, while not stirring, not shabby considering its extreme frugality: 0-62 miles per hour comes up in 12.7 seconds and top speed is nearly 146 mph.

VW confirms Golf GTD diesel coming to US for 2016

Part of the Volkswagen Golf recipe that has helped the car sell more than 30 million units in just under 40 years is the number of variants in which the hatchback is offered. Building on that range here in the US, Automotive News is reporting that we will finally be getting the sporty Golf GTD, likely as a 2016 model. It's the GTD, you'll recall, that crosses the performance abilities of the venerable GTI with a powerful and fuel-efficient diesel engine.
After speaking with Andreas Valbuena, Volkswagen product manager for the Golf, AN not only says that the GTD will for sale in the US in a couple years, it also estimates a baseline price of around $27,000, which would place it between the current pricing for the GTI and the Golf R. The GTD is launching in Europe this summer, but we won't be getting the seventh-generation Golf in the US for another year. The news about the performance diesel model isn't entirely unexpected - VW officials have been hinting at it for at least a year now, going so far as to import a sixth-generation model for media test drives on US soil, a task we happily took them up on last year.
The Mk VII GTD uses VW's 2.0-liter TDI engine with output increased to 184 horsepower and 280 pound-feet of torque, allowing the car to sprint to 60 miles per hour in about seven seconds while returning more than 40 mpg in highway driving. We can't wait.

The hottest modern sports cars rendered as rally racers

The modern-day World Rally Championship a monumental amount of fun to watch – I should know, as I recently was lucky enough to head to the UK to watch WRC Wales Rally GB – but even the most monstrous of the current WRC cars are based on fairly pedestrian European hatchbacks. Back in the heyday of rally, the Group B era in the 1980s, much hotter cars were the basis of even more incredible competition machines, for the most part. Take the exotic Ford RS200, or the Lancia Delta S4 with its twin-charged engine. And the hatchback-based Group B cars were bonkers, too. So what would some of our favorite modern cars look like if Group B had never ended? A British site named CarWow hired an artist to reimagine everything from the Rolls-Royce Wraith to the Porsche 911 as a retro-inspired rally car, and they were kind enough to let us share the results in the gallery above. The gallery features an Alfa Romeo Giulia in Martini livery, an Audi TT in classic Ur-Quattro colors, a Fiat 500 Abarth sporting massive flares and a hood blister full of auxiliary lights, a new Ford Mustang in RS200 livery, a Lancia Delta in Alitalia colors, a Porsche 911 in Rothmans livery, a Renault-Alpine in classic blue, a Rolls-Royce Wraith tribute to the Jules cologne Corniche Coupe, and a relatively modern-looking VW Touran. So far, the favorite around the office is the incredible Mercedes-Benz S-Class that is an homage to the wonderful 300 SEL 6.8 AMG "Red Pig" that essentially put AMG on the map. Check out the gallery above and see which one you like the best. Related Video: