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Audi A0 in development based on VW Up!

Bigger, it seems, is no longer better. Volkswagen has made waves with its Up! city car, a plucky three-door that's been a bit of a hit since it burst onto the automotive scene, spawning a number of variants during its short life. And while our European friends have gotten a Cross Up!, a commercial version, an EV model, Seat- and Skoda-badged variants, and a rumored diesel-electric Twin-Up!, the small city car has been lacking in terms of its premium content.
That fact makes this rumor rather tantalizing - Audi might be working on its own version of the front-engined, front-drive city car, to be called the A0. The report comes from AutoExpress, which claims Audi CEO Rupert Stadler wants a premium Up! that features a distinctive interior and exterior treatment.
Changes could include a trapezoidal grille, in addition to premium exterior features like LED lighting and alloy wheels. The cabin would feature leather and likely a version of Audi's MMI infotainment system, while power would come from a 109-horsepower, 1.0-liter engine found in the Up! GT Concept.

Audi, Porsche ensnared in new Volkswagen cheating allegations

The scope of the Volkswagen emissions cheating scandal that has enveloped the global automaker for the past six weeks widened Monday. Now, some of the automaker's premium brands are further ensnared in the mess. Officials with the Environmental Protection Agency issued a second notice of violations Monday, accusing Volkswagen of violating the Clean Air Act by using defeat devices that circumvent emissions testing on diesel versions of certain vehicles equipped with 3.0-liter engines. Roughly 10,000 vehicles in the United States contain the illegal software, the EPA alleges. That's a far smaller number than the 482,000 vehicles affected by the first instances of cheating, which Volkswagen confessed to in September. But this latest violation alleges the cheating occurred broadly through the Volkswagen empire and includes vehicles from the Porsche and Audi brands. Audi had one model, the A3, involved in the first round of announced violations. But the brand, which has enjoyed skyrocketing sales in the US in recent years, is more extensively involved in violations announced Monday. The 2016 Audi A6 Quattro, A7 Quattro, A8, A8L and Q5 are among the cars which contain the illegal software, which permits the cars to emit nitrogen oxide at up to nine times the allowable thresholds set in the Clean Air Act, according to the EPA. The 2015 Porsche Cayenne and '14 Volkswagen Toureg SUV are also affected. "There is clear evidence of additional violations and it's important to put Volkswagen on notice and to inform the public." - Janet McCabe. "Audi, which has been on a roll in terms of sales, reputation and image of late, now is being drawn deeper into the quagmire," said Michelle Krebs, senior analyst for Autotrader. "Previously, only the low-volume A3 was under scrutiny, but now Audi's core models are under fire." Audi officials did not respond to a request for comment Monday. In a written statement issued late Monday afternoon, a Porsche spokesperson said, "We are surprised to learn this information. Until this notice, all our information was that the Porsche Cayenne Diesel is fully compliant." Porsche said it would cooperate with authorities.

Audi tops Consumer Reports' brand rankings while Tesla leads domestics at eighth

Tesla supplanted General Motors' Buick division as the top-ranked US automaker in Consumer Reports annual brand rankings, though the electric-vehicle maker finished eighth among global automakers. Buick had finished atop CR's domestic car-brand list for three years before Tesla leapfrogged it. Scores were calculated from a combination of performance, owner satisfaction, and reliability. CR noted that Buick scored big on reliability but not so high on performance, while Tesla appeared to present the opposite case. Volkswagen's Audi division repeated as the best overall brand for the second straight year, beating out VW's Porsche unit, BMW, Toyota's Lexus division, and Subaru. Kia and Mazda followed those brands, while Honda finished ninth, between Tesla and Buick. Consumer Reports took results from 31 brands. Reliability issues related to the Toyota Tacoma helped drop that Japanese automaker out of the top 10. Take a look at CR's results for its Annual Brand Report Card here. That Tesla, Audi, and Porsche placed so high is topical, given some of the issues plaguing those automakers. Audi, Porsche, and their parent VW have been coping with the effects of the diesel-emissions scandal that broke back in 2015. The scandal has cost Europe's largest automaker billions of dollars, and forced VW to put a stop-sale on diesel-powered cars in the US in late 2015. And while the Tesla Model S improved from the "worse-than-average" label CR gave it in its 2015 Annual Auto Reliability Survey, the problematic falcon-wing doors on the Tesla Model X SUV pulled that model's reliability scores lower last year. Additionally, the Model X's climate-control system and door locks have also caused issues. Toyota and Lexus finished atop CR's reliability rankings last year. Related Video: