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Honda China struggling with high-end Accord because Chinese covet German cars, too

It's not particularly unusual to see cheap cars in China, or those with designs stolen from foreign competitors, but increasingly the best-selling vehicles there would be very recognizable to just about any auto enthusiast. There appears to be one fact of life whether looking at car buyers in Sacramento, Stuttgart or Shanghai: People who can afford to buy premium cars often look first at the Germans.
Honda recently thought that it could challenge this perceived wisdom by including a premium Accord in the ninth-generation sedan's Chinese launch last year. The market-exclusive version was priced against the Audi A4. The venture failed, miserably.
According to Automotive News China, sales for the new Accord in China are down 37 percent through May of this year. Honda's overall sales are actually up by about 11 percent there on the strength of smaller, less profitable models. However, the company is still off its forecast 19-percent rise.

Audi Sport Quattro Concept to race into Frankfurt

Audi has pulled the official wraps off its new Sport Quattro Concept, which will be debuted at the 2013 Frankfurt Motor Show. The automaker is understandably keen to draw inspiration from its classic Quattro line of automobiles, specifically the original Ur-Quattro from 1980 and the short-wheelbase Sport Quattro that took part in rally racing and set a record at the Pikes Peak Hill Climb in 1987. A massive dose of modernity comes courtesy of its 700-horsepower plug-in hybrid powertrain.
There is a clear link in the styling of the Sport Quattro Concept to Quattro coupes of the past, from the large flat surfaces that make up its C pillars to the blisters over the fenders and the basic headlamp shape (equipped as they are with Audi's Matrix LED technology). Pay special attention to the car's grille, which introduces a slightly new design language that is expected to be seen in the next generation of Audi's mainstream production models.
The interior of the Sport Quattro Concept is a refreshing departure from Audi's admittedly attractive and useable design, with sharp lines and lots of visible carbon fiber. There are seats for four occupants inside, along with a comparatively generous cargo area measuring 10.59 cubic feet.

Audi to spend $17 billion to fight BMW

It's no secret that VW Group, parent company to not only Volkswagen but also Audi, Bugatti, Bentley, Lamborghini, Porsche and Ducati brands sold in the US, is determined to become the world's largest automaker. Even more impressive is that VW is prepared to spend billions to make it happen.
With that comes word that VW Group will be spending $17 billion on its Audi brand over the next three years to push itself above rival BMW. The money will be invested in both vehicle development (including lightweight auto design and alternative powertrains) and facilities (including expansion in Hungary, China and new operations in Mexico). The luxury brand is focused on global manufacturing infrastructure.
Already Europe's best-selling luxury brand, Audi's objective is to overtake BMW by the end of the decade by selling more than two million cars per year (BMW is shooting for 1.54 million sales in 2013). If those objectives are met, VW Group should be on track to be the industry's volume leader by 2018.