Brown 1985 Vw Vanagon In Fla. Manual Transmission. Runs Great! on 2040-cars

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VW still set on Phaeton redux despite cost-cutting drive and losing $32k per car

While critically well regarded, the Volkswagen Phaeton has proven to be a vehicle largely unloved by luxury buyers around the world. Despite this, it refuses to die. While VW's luxury sedan hasn't been sold in the US since 2006 due to low sales here, it has soldiered on in Europe with occasional updates. As the model's long lifespan has been winding down, VW has decided to keep pushing the Phaeton into a new generation, despite in-house alternatives like the Audi A8 and Bentley Continental Flying Spur. The move might not make much business sense, but Volkswagen executives are determined to make the Phaeton work. According to market analysts speaking to Reuters, developing the next-gen luxury sedan on the MLB platform could cost as much as 650 million euros ($737 million), despite relying on the same underpinnings in the A8. It's not like the Phaeton is leading the luxury sedan sales ranks, either. Reuters notes VW produced just 5,812 of them in 2013 (the most current year with data), and from 2002 to 2012, the automaker reportedly lost 28,000 euros ($32,000) on each example sold. Conversely, Mercedes-Benz sold 103,737 units of its new S-Class in 2014, an astonishing 82.2 percent jump over the previous year. The decision to keep the Phaeton going doesn't seem to square with the VW brand's cost-cutting strategy. Boss Martin Winterkorn announced last year a plan to save 5 billion euros ($5.7 billion) annually in the coming years. That plan reportedly also includes killing off less profitable models. Apparently, VW can't just rip off the band-aid and get rid of the Phaeton. Even some VW bosses seem somewhat perplexed at the sedan's business case. When Reuters asked the company's US boss Michael Horn about selling the Phaeton here, he said. "That's a dangerous question. It's an image bearer with no relevance for volume." The next-gen Phaeton is scheduled to go on sale in Europe in 2017 or 2018, according to Reuters, which is about a year later than previous rumors. A US launch will reportedly follow in 2018 or 2019 with the plug-in hybrid and potentially even diesel versions on offer. A starting price around $70,000 is estimated. Featured Gallery 2011 Volkswagen Phaeton View 15 Photos News Source: ReutersImage Credit: Volkswagen Plants/Manufacturing Volkswagen Luxury Sedan vw phaeton cost cutting

VW Golf Sportsvan succeeds Golf Plus in Frankfurt

Just ahead of this week's Frankfurt Motor Show, Volkswagen has announced the world premiere of its Golf Sportsvan, a near-production concept that succeeds its Golf Plus. VW describes this compact family car as "one of the most versatile vehicles of the compact class," noting that it offers a mix of hatchback and minivan features in a sporty package.
That sportiness comes from the Sportsvan's styling (perhaps more sleek wagon than minivan) and performance features it shares with the Golf GTI - including the XDS+ electronic differential lock, which is integrated into the Electronic Stability Control system to improve agility. At the same time, the Sportsvan's six engine options, which include a turbodiesel, are up to 19-percent more fuel-efficient than their predecessors.

Watch the VW E-Golf get made

If you've ever been on a tour of an automotive factory, you know how mesmerizing it can be to see humans and robots work together to build our four-wheeled friends. The swift automation, the cleanliness, the trained hands deftly fitting pieces together and watchful eyes inspecting every piece of the car, it's all quite impressive, especially if the vehicle is one you, as an observer, are fond of. Even just seeing a fresh, gleaming badge being applied to immaculately painted sheet metal is enough to curl ones toes. Such is the case with this video from of the E-Golf being pieced together in the Volkswagen's Wolfsburg plant. There's no narration or music - just the sounds of production - so it's easy to follow the singular motions that go into the process without distraction, with a slight sense of actually being on the floor. This solo video is only seven minutes long, so it's not quite the epic that was the BMW i3 production series. Therefore, we miss a lot of the initial build, such as pressing the sheet metal, painting, and putting together a lot of the inner workings. What is refreshing to see is how much of the final touches of the electric Golf are done by hand using actual hand tools (and with typical German efficiency). There's even a person riding a bicycle through the factory at one point, which is common at Wolfsburg and also rather quaint. Enjoy the video below, and if you have a suggestion for a good soundtrack to go along with it, sound off in the comments. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.