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Chrysler and Fiat offering $1,000 rebates to VW owners as Marchionne gets tough

The throw-down between Fiat CEO Sergio Marchionne and Volkswagen has heated up in earnest. According to Bloomberg, Fiat and Chrysler are now offering current Volkswagen owners in the US $1,000 rebates to trade in their ride. It's the latest in a series of shots Marchionne has taken at his German rival. As you may recall, the Fiat executive entered into a spat with Volkwagen board chairman Ferdinand Piëch and CEO Martin Winterkorn in October after the duo called for Marchionne's resignation from presidency of the European Automotive Manufacturers Association (AECA). At the time, the Volkswagen executives were quoted as saying Fiat would not survive the European economic downturn.
In response, Marchionne called the German executives "reprehensible," and accused Volkswagen of using a pricing strategy that has created created a "bloodbath" in the EU. Volkswagen has taken to steep discounting to carve out ever-larger slices of market share in Europe, but the company has a much smaller foothold in the US. Marchionne may be trying to hit Volkswagen where the manufacturer is weakest with the new Fiat new incentive program.
Late last week, the Fiat executive was voted to a second term as ACEA president.

VW recalls another 6,700 vehicles over fuel leak [UPDATE]

UPDATE: An earlier version of this post suggested that the expanded recall involved an additional 44,658 units, when VW tells us that is in fact the total number - adding a further 6,679 to the original recall of 37,979. The text below has been updated accordingly, with our apologies for the confusion. It was a little over a month ago that Volkswagen issued a recall for some 38,000 vehicles over a potential fuel leak. Now the German automaker and the National Highway Traffic Safety Administration have expanded that recall, affecting even more vehicles for the same issue. The problem revolves around a sealing cap at the fuel rail, which could fail and cause fuel to leak into the engine compartment, thereby increasing the risk of a fire. This time around, VW is calling in a selection of Jettas, Passats, Golfs, GTIs, Beetles and Beetle Convertibles, all of them from the 2014 and 2015 model years (except the Golf and GTI, of which only 2015 models are being recalled). The recall now affects an estimated additional 6,679 units, which (in addition to the 37,979 recalled previously) brings the total up to 44,658 vehicles across the United States. RECALL Subject : Fuel Leaking Into Engine Compartment Report Receipt Date: JAN 23, 2015 NHTSA Campaign Number: 15V028000 Component(s): FUEL SYSTEM, GASOLINE Potential Number of Units Affected: 44,658 Manufacturer: Volkswagen Group of America, Inc. SUMMARY: Volkswagen Group of America, Inc. (Volkswagen) is recalling certain model year 2014-2015 Jetta vehicles manufactured March 28, 2014, to November 24, 2014, 2014-2015 Passat vehicles manufactured April 7, 2014, to November 18, 2014, 2015 Golf and GTI vehicles manufactured July 1, 2014, to November 20, 2014, and 2014-2015 Beetle and Beetle Convertible vehicles manufactured March 31, 2014, to November 27, 2014. A sealing cap at the fuel rail may fail, allowing fuel to leak into the engine compartment. CONSEQUENCE: A fuel leak, in the presence of an ignition source, can result in a vehicle fire. REMEDY: Volkswagen will notify owners, and dealers will replace the fuel rails with new parts, free of charge. The recall is expected to begin in early February 2015. Owners may contact Volkswagen customer service at 1-800-822-8987. Volkswagen's number for this recall is 24BL. Note: This recall expands and supersedes recall 14V-809 (Volkswagen recall number 24Bi) and only affects vehicles not previously repaired under that campaign.

2015 Volkswagen GTI [w/video]

The 911 Of Hot Hatches Takes The Compact Game To New Levels
North American car buyers get a bit of a slap in the face when it comes to delivery schedules for new the Volkswagen Golf and pumped-up GTI models. We'll just repeat the old chestnut: It's worth the wait... even though it still stinks. This time around, Western Europe is taking deliveries of the new Golf as we speak, and GTI deliveries start between May and July. North America doesn't get the Mk7 Golf or GTI until about July of 2014.
So we approached our first drive of the new GTI with this chip on our shoulder: "You're making us wait? Well, then at least give us the exact car we'll be able to buy. No compromises, mein freund." And so it was that we extracted nearly all of our drive impressions from behind the wheel of what, for the United States, will technically be a model year 2015 two-door Volkswagen Golf GTI Performance with the standard six-speed manual.