2011 Volkswagen Jetta Sel Sedan 4-door 2.5l on 2040-cars

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Volkswagen profit jumps as it warns of a cooling auto market

FRANKFURT, Germany — Volkswagen says its profits jumped 44% in the third quarter thanks to a more profitable mix of vehicles in its lineup but warned that global car markets are slowing more than expected and lowered its forecast for annual sales. After-tax profit rose to $4.42 billion (3.98 billion euros) as revenues rose 11% to $68.27 billion (61.42 billion euros). The sales margin of 7.8% exceeded the goal of 6.5-7.5% as vehicles bringing higher profits took a larger share of sales. The Wolfsburg-based automaker pointed to the headwinds facing the industry by saying that it expects "vehicle markets will contract faster than previously anticipated in many regions of the world." It said sales would be "on a level" with last year's record of 10.8 million vehicles. Previously it had expected a slight increase. The company said its profits would be in the lower end of its forecast range. Global automakers are facing a slowdown in sales amid disputes over trade and from pressure in the European Union and China to develop and sell low-emission vehicles that require heavy investment in new technology. Ford and Renault have issued profit warnings in recent days, while Daimler, maker of Mercedes-Benz luxury cars, lost money in the second quarter and is expected to outline a cost-cutting strategy for investors on Nov. 14. Volkswagen is leading the push into electric vehicles in Europe by launching its ID.3 battery-powered compact car at prices it says will make zero local emission vehicles a mass phenomenon. The company was able to increase earnings in the quarter despite an 18% rise in spending on research and development.

VW modular platform strategy goes all-in on EVs

The Volkswagen Group has already revealed or put on sale a broad slate of new electric vehicles: the E-up, the E-Golf (shown above), the Porsche 918 Spyder, the Panamera S E-Hybrid and the XL1. In 2014, there will be at least six more models, including the A3 Sportback E-Tron. And after that? Well, to hear Rudolf Krebs, Group Commissioner For Electric Vehicle Drive Systems, tell it, VW's future is full of plug-in goodness. "With our platform strategy, it is quite easy to bring a lot of electrified vehicles to the market for the different brands in a very short time," he said. "We try, with a minimum of those components, to produce a maximum number of variants of cars" That strategy starts with three platforms: MQB for small cars, MLB for midsize models and MSB for sporty and premium products (there's also the NSF for cars like the E-up). Speaking to AutoblogGreen, Krebs said VW has designed modules, things like engines and electric components (think: AC compressor, on-board chargers and battery management systems), to be used across all three platforms and across all brands all. "We try, with a minimum of those components, to produce a maximum number of variants of cars," he said. "This is only possible if, at an early stage of the design of new vehicles, we implement the idea that these cars are not only designed for gasoline and diesel powertrains but that we can also include CNG concepts, flex-fuel concepts, pure electric vehicles or plug-in hybrid vehicles. With minor changes in the body in white, we can produce those vehicles, bumper-to-bumper, in one factory." "VW wants to be the leader in the electrification of vehicles" In this way, customers can choose the powertrain that they want, or whatever powertrain their local regulations demand. Politicians have already put a lot of pressure on the automotive industry, with ever-stricter CO2 regulations coming into effect in all of the major markets. In the US, the fuel economy regulation numbers require the equivalent of 101 grams of CO2 emissions per kilometer by 2025. Europe, it's 95 grams by 2020. And China, which is asking for 118 grams by 2020, will be a tough scenario, Krebs said. Today, by optimizing conventional technologies and supporting things like CNG and biofuels, more than 300 VW Group models emit less than 120 g/km. A hundred of those are even under 100 g/km. But this is not sufficient, and VW admits that conventional powertrains will not be not enough.

2015 VW Golf R ready for your pre-order on January 8

If you want to be the first person on your block with Volkswagen's latest Golf R parked in your garage, you need to clear some time from your schedule on January 8. On that day, VW is opening the pre-order books for the first 500 Stateside examples of the new hot hatch, and they come with some neat accessories, too. Don't worry about specing just the right Golf R because all 500 early models are identical. In addition to the obvious 2.0-liter turbocharged engine with 292 horsepower 280 pound-feet of torque and 4Motion all-wheel drive, the six-speed dual-clutch gearbox is the only option here. Every one of these hot hatches comes in Lapiz Blue Metallic paint with 19-inch wheels covered in summer performance tires. Based around the DCC and Nav trim, each of them also has VW's adaptive damper system, bi-xenon headlights with LED running lights, a Fender audio system, parking sensors and navigation. Beyond just being the first ones to own VW's latest hot hatch in the US, the deal for these 500 folks also includes a Volkswagen R watch, carbon fiber and stainless steel keychain and a certificate. All three items are serialized to match the VIN of the buyer's Golf R. The total price for each one of these 500 Golf R's is $39,090, plus $820 destination and delivery. But potential buyers don't have to come up with all of that on January 8. They just need to visit VW's Golf R site and pay a $500 reservation fee to get in line, which goes toward the purchase of the car. The money is refundable for anyone who backs out, and any additional orders are put on a waiting list in case of any cancelations.