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New Audi A5 to debut in Ingolstadt on June 2

Audi will introduce the second-generation A5 during a late-night lightshow at its Ingolstadt, Germany, museum on June 2. In the announcement, the company only called out the standard model, but a new S5 coupe is probably not too far behind. Details on the next A5 have been scarce, and spy shots haven't revealed much. Our most recent images come from June of last year and show a vehicle that more or less follows the current A5's theme – a two-door A4 with a few small visual tweaks to distinguish it from the sedan, including a wider stance. Expect an interior treatment very similar to the A4's as well. The new coupe's mechanicals should mirror those of the four-door as well. The A5 will likely stick with a 2.0-liter, turbocharged four-cylinder (the A4's currently makes 252 hp) and ditch the current car's eight-speed automatic transmission for a new seven-speed dual-clutch. Unlike the sedan, the coupe is likely to continue offering a six-speed manual, as it is positioned as a sportier option even if it shares the A4's platform. Front-wheel drive will be standard, while Quattro all-wheel drive will be the one to buy. The S5 should definitely offer a manual again, along with the S4's 354-hp turbo 3.0-liter V6 and standard all-wheel drive. A seven-speed dual-clutch will be an optional extra, again, just like on the S4. Timing of the new A5's arrival appears to have shifted. A leaked product roadmap originally called out April 2016 for the A5 and S5 hardtop and May 2016 for the Cabriolet versions. Based on the June 2 debut, it looks like Audi pushed those dates back, so we'd expect the new convertibles to make their debut sometime in July. The new A5 is pegged to arrive as a 2018 model. We'll have all the details on the new A5 Coupe when it debuts early next month. Related Video:

VW stock plummets as Euro markets open

The fallout from Volkswagen's installation of an emissions "defeat device" on nearly 500,000 diesel-fueled models in the US is already hitting the automaker hard on the German stock exchange. At one point, the share price plummeted 23 percent to erase the equivalent of $17.6 billion in value. Things eventually bounced back slightly to a still severe 19.23 percent loss, according to Bloomberg as of this writing. The scandal couldn't come at a worse time for chairman Martin Winterkorn. The VW supervisory board takes up the issue of renewing his contract on September 25, Bloomberg reports. If things get bad enough, the door could be open for a new boss to step in. Dealers in the US might start feeling the pain from this, as well. Affected 2015 VWs that are still at showrooms are now under a stop sale. Until the issue is straightened out, the Environmental Protection Agency isn't certifying the company's 2016 diesel models with the 2.0 TDI, either. The diesel emissions problem was first discovered by research from West Virginia University and the International Council on Clean Transportation. In some cases, the engines can produce 40 times more nitrogen oxides than allowed. The automaker could be on the hook for $18 billion in fines for the breach, but the actual figure is expected to be lower. In response, Winterkorn has issued a public apology and ordered an independent investigation into what happened. The EPA and California Air Resources Board have also been looking into the situation. This could become an international problem, though. According to The Detroit News, European authorities might begin similar inquires to check the automaker's diesel emissions there.

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.