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Volkswagen of America March 2019 Sales Mar. 19 Mar. 18 Yr/Yr% change Mar. 19 YTD Mar. 18 YTD Yr/Yr% change Golf 865 913 -5.3% 1,387 1,913 -27% GTI 1,406 1,821 -23% 3,590 5,126 -30% Golf R 89 346 -74% 144 349 -59% e-Golf 581 164 254% 863 540 60% Golf SportWagen 1,001 1,626 -38% 1,802 4,084 -56% Total Golf Family 3,942 4,870 -19% 7,786 12,012 -35% Jetta Sedan 9,105 5,512 65% 23,089 14,610 58% Jetta SportWagen (now Golf SportWagen) N/A 15 N/A N/A 40 N/A Total Jetta 9,105 5,527 65% 23,089 14,650 58% Beetle Coupe 1,151 1,155 -0.3% 2,531 2,516 0.60% Beetle Convertible 876 604 45% 1,924 1,362 41% Total Beetle 2,027 1,759 15% 4,455 3,878 15% Passat 2,762 4,292 -36% 7,758 9,762 -21% CC 9 57 -84% 22 152 -86% Tiguan Limited 42 1,441 -97% 164 5,330 -97% Tiguan 11,805 8,276 43% 26,533 22,098 20% Total Tiguan 11,847 9,717 22% 26,697 27,428 -2.7% Touareg 19 263 -93% 86 938 -91% Atlas 7,381 6,063 22% 15,979 15,132 5.6% Total Car 17,845 16,505 8.1% 43,110 40,454 6.6% Total SUV 19,247 16,043 20% 42,762 43,498 -1.70% TOTAL 37,092 32,548 14% 85,872 83,952 2.3% About Volkswagen of America, Inc. Founded in 1955, Volkswagen of America, Inc., an operating unit of Volkswagen Group of America, Inc. (VWoA) is headquartered in Herndon, Virginia. It is a subsidiary of Volkswagen AG, headquartered in Wolfsburg, Germany. VWoA’s operations in the United States include research and development, parts and vehicle processing, parts distribution centers, sales, marketing and service offices, financial service centers, and its state -of-the- art manufacturing facility in Chattanooga, Tennessee. The Volkswagen Group is one of the world's largest producers of passenger cars and Europe's largest automaker. VWoA sells the Atlas, Beetle, Beetle Convertible, e-Golf, Golf, Golf Alltrack, Golf GTI, Golf R, Golf SportWagen, Jetta, Passat, and Tiguan vehicles through more than 650 independent U.S. dealers. Visit Volkswagen of America online at www.vw.com or media.vw.com to learn more. Notes: This press release and images are available at media.vw.com.

The Volkswagen Arteon is taking the scenic route to the US with a delayed launch brought on by some delays in getting its engine certified for the US. The US version of the Arteon debuted at the Chicago Auto Show in 2018 and we recently reported that the Arteon would finally go on sale sometime in early summer. Volkswagen has announced pricing for the U.S. model will start at $35,845 plus $995 destination charge for the base SE front-wheel-drive model and $37,645 for all-wheel drive. All-wheel drive is available on all trims, generally costing about $2,000 for the upgrade. Arteon SE comes with heated 12-way power seats with faux leather, three-zone automatic climate control, rain sensing wipers, and an 8.0 inch diagonal infotainment screen including Android Auto and Apple Car Play. 18" alloy wheels and LED headlights are standard. Arteon SEL starts at $39,995 for FWD and $41,795 for 4Motion AWD. It adds adaptive front lighting, panoramic sunroof, remote start, Napa leather seats, driver seat memory, ambient lighting, navigation, a 12.3 inch digital cockpit systems, and adaptive cruise control. Arteon SEL Premium starts at $44,945 and features standard 4motion, heated steering wheel, paddle shifters, ventilated front seats, massaging driver’s seat, heated rear seats, brushed aluminum, tri-color ambient lighting, and a 700-watt premium audio system with 12 speakers. The R-Line Package is available on any trim level and includes 19-inch alloy wheels for $1,265 or 20-inch alloy wheels for $1,765 View full article

Volkswagen has announced it will cut between 5,000 to 7,000 jobs through attrition and early retirement at its headquarters in Wolfsburg, Germany. Most of the job cuts will be administrative staff. While cutting those job, VW will be creating 2,000 new software and electronics jobs. The cuts are part of a cost savings plan to drive 3€ Billion in annual savings by 2020 and 5.9€ billion by 2023. The move comes the day after the company announced it will increase its EV plans to build 22 million units over the next decade. Electric vehicles are less complex to build and require fewer workers. Volkswagen is building a new EV platform and the first vehicle to arrive on the market will be the I.D. Neo, expected sometime in 2020. The I.D. Neo will be built at a plant in Zwickau, Germany. Future electric vehicles will be built in 7 additional factories including Chattanooga, Tennessee. View full article

The U.S. Security and Exchange Commission has filed suit in San Francisco on Thursday alleging that from April 2014 through May 2015, Volkswagen fraudulently issued more than $13 Billion in bonds and securities in the U.S. market. During that time, the SEC alleges that Winterkorn and other senior management knew about the problem with over 500,000 diesel vehicles that exceeded legal emissions limits. The suit says: Winterkorn resigned within days of the scandal braking in 2015. Volkswagen said in a statement that the lawsuit is "legally and facturally flawed" and "the company will contest it vigorously". Volkswagen has already agreed to pay more than $25 billion in a settlement over the dieselgate scandal to buy back defective vehicles, paying fines, and setting up funds to help build out electric vehicle infrastructure. Winterkorn has already been charged in the US. View full article

The delayed launch of the Volkswagen Arteon may be nearing its end. MotorTrend is reporting that the Chairman of Volkswagen has said that the Arteon will hit U.S. shores this year. The original cause of the delay was a backlog of certifying vehicles under the World Harmonized Light Vehicle Test Procedure (WLTP). The Arteon in the U.S. will use a 268 hp 2.0 liter Turbo from Audi that had yet to be certified. VW sells the Arteon in Europe using a different engine. The Arteon debuted at the 2018 Chicago Auto Show and is priced above the Passat in the Volkswagen lineup. Related: View full article

VOLKSWAGEN OF AMERICA REPORTS FEBRUARY 2019 SALES RESULTS Volkswagen of America February 2019 Sales Feb. 19 Feb. 18 Yr/Yr% change Feb. 19 YTD Feb. 18 YTD Yr/Yr% change Golf 292 505 -42% 522 1,000 -48% GTI 1,189 1,618 -27% 2,184 3,305 -34% Golf R 19 - N/A 55 3 1733% e-Golf 118 198 -40% 282 376 -25% Golf SportWagen 452 1,280 -65% 801 2,458 -67% Total Golf Family 2,070 3,601 -43% 3,844 7,142 -46% Jetta Sedan 7,109 4,576 55% 13,984 9,098 54% Jetta SportWagen (now Golf SportWagen) N/A 16 N/A N/A 25 N/A Total Jetta 7,109 4,592 55% 13,984 9,123 54% Beetle Coupe 872 614 42% 1,380 1,361 1.4% Beetle Convertible 585 393 49% 1,048 758 38% Total Beetle 1,457 1,007 45% 2,428 2,119 15% Passat 2,097 3,036 -31% 4,996 5,470 -8.7% CC 4 46 -91% 13 95 -86% Tiguan Limited 66 1,855 -96% 122 3,889 -97% Tiguan 8,079 7,486 7.9% 14,728 13,822 6.6% Total Tiguan 8,145 9,341 -13% 14,850 17,711 -16% Touareg 29 271 -89% 67 675 -91% Atlas 4,795 4,766 0.6% 8,598 9,069 -5.2% Total Car 12,737 12,282 3.7% 25,265 23,949 5.5% Total SUV 12,969 14,378 -10% 23,515 27,455 -14% TOTAL 25,706 26,660 -3.6% 48,780 51,404 -5.1%

Ahead of the Geneva Auto Show, Volkswagen has unveiled the R version of their T-Roc crossover. The T-Roc is a small crossover not (yet?) sold in the U.S. that slots below the Tiguan and most directly related to the Volkswagen Golf. Standard models went into production for the European market in 2017. That brings us to 2019 and the unveiling of the 2020 Volkswagen T-Roc R. The T-Roc R is the new top of the line for the T-Roc range. Shown above as a nearly production ready concept, the T-Roc R gets many of the upgrades the Golf R gets. That includes a 2.0 liter turbocharged 4-cylinder producing 296 hp and 295 lb-ft of torque. Power is routed to the standard 4Motion Haldex all-wheel drive via a 7-speed dual clutch transmission. That will hustle the T-Roc from 0-62 mph in 4.9 second with an electronically limited top speed of 155 mph. Keeping all that power on the ground is a Golf R sports suspension that is lower to the ground and a standard progressive steering system. Drive modes help keep control and include a race mode and launch control that manages and maximized torque. The electronic stability control can be switched off for driving at the limit and 17-inch brakes help to bring it all to a stop. For now, the entire T-Roc line remains Forbidden Fruit in the U.S., but with crossover sales increasing rapidly, perhaps Volkswagen can be persuaded to send it over. Volkswagen Press Release on Page 2 New T-Roc R combines performance and lifestyle Volkswagen is set to present the T-Roc R, new top model for the successfully launched crossover product line, at the Geneva International Motor Show (7– 17 March 2019). Developed by Volkswagen R, this powerful vehicle boasts some impressive performance data: its four-cylinder TSI engine with 2.0 litre capacity and an output of 221 kW/300 PS as well as torque of 400 Nm. The standard combination with 7-gear DSG and 4Motion all-wheel drive ensures excellent acceleration without any loss of traction. The Volkswagen T-Roc R can accelerate from 0 to 100 km/h in 4.9 seconds, while the top speed is electronically limited to 250km/h. The sports running gear (with lowered suspension) ensures ideal road holding. Progressive steering comes as standard and plays a part in ensuring agile driving behaviour; the 17-inch brake system provides effective braking. The driving modes include a special race mode, which guarantees an especially sporty driving experience. These measures are supplemented by the launch control feature, which provides optimal traction during acceleration while offering maximum drive torque and a corresponding stability management program. The ESC Electronic Stability Control feature can be manually switched off to ensure particularly dynamic driving at the limit. The sporty characteristics of the T-Roc R are underscored by the unmistakable design on the exterior and in the interior. The redesigned radiator grille has a polished silver band of anodised aluminium on the underside that runs the entire width of the vehicle. The bumper’s model-specific design is painted the same colour as the car. The light units in the vertically arranged daytime running lights are integrated into the front. The rear bumpers include visual air outlets in the upper part and an “R” diffuser in a contrasting colour. The double-ended exhaust system on both the left and right are specific to the “R” model. The T-Roc R is equipped with 18-inch Spielberg alloy wheels as standard. The 19-inch Pretoria Dark Graphite matte alloy wheels and 235/40 R19 tyres are available as an optional extra. The sill panel trims sport a stainless steel design and have the “R” logo, which can also be seen on the radiator grille and on the sides of the vehicle. The “R” logo is also displayed on the backs of the seats. The leather multifunction sports steering wheel with paddle levers and decorative stitching in Crystal Grey also shows its sporty side with the “R” logo, as does the black headliner and the greeting on the start screen. The pedals shimmer in stainless steel. The new crossover model for performance and lifestyle is based on the harmonious concept of the T-Roc, 200,000 units of which have already been sold. The new T-Roc R expands the broad range of the compact crossover with an emphatically sporty model for individualists who attach as much importance to a stylish appearance as to outstanding driving performance. View full article

To quote Christian Buhlmann of Volkswagen product line communications for e-mobility: "It doesn't make much sense because if you think of the starting torque that you have and the dynamic weight distribution, the weight is lifted from the front axle towards the rear axle," he said. "That's exactly where you need the torque to be in your acceleration moment. Therefore, it physically doesn't make sense to use only the front axle if you have the vehicle that offers a lot of torque right from the start. " This was his response in regards to the question of FWD or RWD for electric vehicles and why? With the ease of ability to package the motors front, rear, or AWD and running a few cables, it really boils down to the efficiency of where the motor makes the most sense. As such, EVs will be moving to RWD / AWD and with the lower cost of powertrain components, AWD is an easy profitable upgrade. VW like Tesla and all other OEMs has stated, the most expensive part of an EV is the battery pack. VW has admitted that the tradeoff in lower-cost vehicles that need efficiency with a lower cost is why FWD became the rage but those days are over as the dynamics favor the superior driving dynamics of RWD with electric powertrains. Is it a superior looking car over Tesla? Motor Trend Story

Volkswagen AG expects starting in 2026 when they roll out their next-generation gas and diesel engines that are currently in development that it will be the end of any new ICE power trains. Michael Jost strategy chief for VW has stated that in some markets already ICE is starting to fad and by 2026 as more EVs enter the market place, the transition will be underway. VW will continue to modify and tweak as needed for markets where there is insufficient charging infrastructure which will carry this last power train line past 2050. For all major markets though, EVs will become the norm. Bloomberg Story

https://www.freep.com/story/money/cars/2018/10/16/ford-volkswagen-partnership/1655475002/ Seems Ford and VW are talking about cooperation in building auto's that are the cornerstone of each company for each other to expand global sales. Seems Trucks / SUVs from Ford to VW and Cars from VW to Ford. Analysts say there is more than just building auto's for each other that a buy out of one by the other or a merge could take VW from #1 in the world to #1 plus alotta space from #2. Analysts are dumbfounded as to why Ford is not moving forward faster as they all see a big turn down coming in the auto industry. To quote the story: “Ford can screw around with management layer reductions in North America and partnership in the other three regions instead of being acquired, in a desperate attempt to remain independent, but concurrently, the next auto downturn is coming," said Gabrielsen, an Ann Arbor native who is based in San Jose del Cabo, Mexico. He travels frequently to Detroit, Chicago and Atlanta to meet with clients, primarily U.S.-based global companies. "It is just a question of how soon. But, at the pace they are moving, the downturn will hit before they are done restructuring," he said. "A VW-Ford combination would be the undisputed largest automaker in the world, leaving the (now) near-tie with Toyota in the dust." To quote the news story above: The Ford-VW numbers are compelling, analysts said again and again. Gabrielsen noted that in 2017: Ford had 13.9 percent of the market share versus 4.5 percent for VW in North America. VW had 10.6 percent of the market share versus 8.9 percent for Ford in South America VW had 10 percent of the market share versus 3.4 percent for Ford in Asia Pacific. VW had 17 percent of the market share versus 7.5 percent for Ford in Europe.

According to the Sierra Club who is following the VW Dieselgate issues closely, they have been watching who gets how much money and how are they spending it. Dieselgate settlement is that so much money is spent on actual EV infrastructure and so much has to be spent on removing nitrogen oxide from the air that you breath. The breakdown of money given to each state is based on how many VW offending auto's were sold in each state. Sierra club was able to get some info on how some states are planning to spend that money and here is what has been reported: California will spend its money mostly on replacing heavy-duty trucks, buses and equipment with zero-emission models. The state will also invest in electric-vehicle charging stations and efforts to cut emissions at freight facilities. Pennsylvania's plan includes funding projects to retrofit diesel-burning locomotives, marine engines and other equipment that sullies the air. The state will focus on densely populated areas -- including Philadelphia and Pittsburgh -- where impoverished neighborhoods tend to be disproportionately affected by air pollution. Minnesota, which received $47 million, is spending money on grants to replace hundreds of diesel school buses, ferries, tug boats and other heavy-duty vehicles. It also plans to develop about 65 electric vehicle charging stations. Georgia, awarded $63.6 million, plans to spend money on a fleet of electric buses and charging depots, including terminal-to-terminal emission-free shuttles to replace diesel burning models at Hartsfield-Jackson Atlanta International Airport. Connecticut, which got $55.7 million, plans to make $7.5 million of that available for grants to reduce nitrogen oxide in a variety of vehicles. Some states are still deciding how to use this newfound cash including Texas who is considering buying new CNG and Diesel auto's to replace older ones in the state fleet. The Sierra Club has opposed that idea pointing out that dirty technology like diesel and or natural gas should not be what this cash is spent on and instead be used for additional EV autos and more EV charging infrastructure including EV buses to increase clean mass transit. Autonews story

ICE - Hybrid - EVs, Who is doing it right, wrong or what? I figure we have our own views of how American and Asian auto companies are doing it. European auto companies have jumped in with big plans for updated ICE, Hybrid and EV's coming out over the next 5-7 years. I would like to open the discussion on the differences and if you feel they are doing it right, wrong, or just what in regards to the rest of the world. Also, as we are seeing with Mercedes Benz announcement, they have Hybrids, but are they really Hybrids or just performance boosting models using electric motors? So start off with your thoughts on these European models and if any name plates are missing please state the company name and explain why you believe they are doing it right, wrong or just different. Sound off on the discussion of the European brands!

https://www.motor1.com/photo/3040654/six-wheeler-vw-amarok/ Motor 1 is reporting that a 6 wheel heavy duty Amarok is coming. The comments now tend to cover VW version for taking on the 6 wheel G Wagon. LOL Interesting, wonder if it would ever show in America?

Seems VW is all in, in setting a new EV auto record for the fastest time up Pikes Peek.

iCar is a VW Mini Van According to story's at other sites, Apple is finally going to hit the road with their own autonomous auto. These auto's are going to be used to ferry employees around their new campus. Apple has partnered up with Volkswagen to use the T6 as their proof of concept in autonomous auto's. These vans will be outfitted at a VW assembly plant in Italy with the electric powertrain, sensors, software and battery packs. According to the NY Times story, Apple wanted to partner with Mercedes-Benz or BMW to develop their all electric self driving auto. This was all rebuffed after Apple wanted control and all data along with the design to be handed over to them according to people familiar with the talks. VW declined to comment on this matchup with Apple. Apple also declined to talk but insiders have said that Apples plans beyond getting these vans onto the campus is lacking in any direction and has led from the 1,000 person team of employees to just hundreds as others left for greener paths at Waymo and GM who both have autonomous auto's on the road now and will be expanding their fleet. Seems Apple who has a 50 auto fleet of Lexus SUV's that are daily testing their sensors and software and autonomous driving on ICE auto was unable to at first partner up with any auto company in the asian rim due to their requirements. Volkswagen behind in R&D compared to their german rivals and in the thick of a Diesel cheating scandal jumped at giving Apple all they asked for to gain a leg up in getting their EV auto R&D going. The original deadline to have these auto's on site and being used by the end of 2018 is going to be missed and first half of 2019 is more of a reality. Uber has announced the complete shutdown of their autonomous project and layoff of the 300 employees they had on this at their Arizona R&D office. NY Times Story Green Car Reports

G. David Felt - Staff Writer Alternative Energy - www.cheersandgears.com Study Suggests VW Emissions will lead to 1200 premature deaths in Europe alone! This study covers the effects around the Globe that VW diesel emissions scandal will cause. The US is equally affected but on a lower number of 60 expected deaths. This is based on the number of autos old sold, 482,000 TDI in the US versusus 2.6 millions. Plenty of interesting information but end result is an increase in the emissions from VW TDi directly affects health and the length of life world wide. Pretty amazing read at MIT News. Study Here

XFC Reality - Xtreme Fast Charging Tesla is the current GOLD standard of EV auto charging. Their roughly 400 North American Charging stations handle 120-140 kWh charging that allows Tesla to brag about their 90 kWh battery packs recharging in 1hr compared to 10 hrs for a Nissan Leaf, 8hr for a Chevrolet Bolt if you home charge. Tesla's customers have had this perk and until now been able to brag about it. Tesla made sure they had this by using a proprietary plug that kept other EV auto's from using the Tesla Network. In comes IONITY, the European group consisting of Porsche, VW, BMW, Daimler and Ford. This is a 400 plus Xtreme Fast Charger network being built now in Europe. A 350 kWh network that covers from 200 to 920 volts at 350 Amps of charging that will allow EV Auto's to refill in 15 min or less. This allows EV auto's that need from 50 kWh to 350 kWh of capability to be handled by these new Liquid cooled Charging stations. The technological breakthrough is in the Charging cables that connect to your EV Auto. These are light, thin charge cables that remove the heat load by liquid cooling in high amperage use. These XFC system charge aproximately 20 miles of range per minute or 300 miles in 15 minutes. How Does This Benefit North America, Specifically the US? This is where the proprietary Nissans Charging (CHAdeMO) and Tesla interface are about to Lose the EV Charging race. The XFC interface uses the CCS (Combined Charging System) based on the J1772-2009 SAE standard. This has been adopted by pretty much every country in the world as the standard except China where they have this standard, Tesla and their own Chinese standard as the 3 plug types that have to be supported at this time. The US is expected to move forward with Nissan changing over in the near future. Porsche is installing 500 of their XFC chargers across the US at dealerships and various EVgo sites. There is also Electrify America, a subsidiary of VW and funded by the $2 Billion plus funding they have committed to for installing XFC charging across America in addition to all the EV charging infrastructure funding that was paid to each state in the settlements. From Level 2 to Level 4 (XFC) charging will get installed from inner city places to suburban and especially highway stops that can support long distance driving by EV auto's. The future is bright for the upcoming onslaught of EV auto's including the Electrify America's Chargers as shown below. The Drive Story SAE J1772 Org SAE J1772 Info

Diesel is quite popular in Europe partly due to subsidies provided by governments - in this case, a lower tax rate on diesel fuel than gasoline. The thinking at the time was diesel engines burn their fuel more efficiently than gas engines, thus they contribute less to global warming. But as the Volkswagen diesel emission scandal would reveal, diesel vehicles aren't that much cleaner, producing more nitrogen oxide emissions than their gas counterparts. Now, one CEO from a German automaker is saying that maybe it is time to end the subsidies. “We should question the logic and purpose of diesel subsidies. The money can be invested more sensibly to promote more environmentally friendly technologies,” said Volkswagen CEO Matthias Müller to German paper Handelsblatt. This is quite the surprise as Volkswagen along with other German automakers said diesel still had a future due to new pollution reduction technologies. Also, Volkswagen did very well with the sales of diesel models. But with the dark cloud of the diesel emission scandal, Müller likely sees the writing on the wall and wants to get out ahead. Müller went on to say that he was in favor of banning older diesel vehicles from city centers. But he said that newer diesel vehicles should be exempt from the bans as they meet "stricter standards on nitrogen oxide emissions". Source: Handelsblatt via New York Times View full article