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VW to relax ambitious US sales targets?

The Volkswagen brand sold 407,704 cars last year, a 6.95-percent decline compared to 2012, and it's down a further 8.36 percent through the end of April 2014 compared to this time last year. In order to to put the sales football between its Strategy 2018 goal posts, the brand would need to add 100,000 more sales every year to achieve the lofty 800,000-unit target. Coming to grips with how unreasonable that is, VW US CEO Michael Horn has said, "For now, we have to have realistic targets."
The reasons for the brand's slow-down are imprecise, but lots of folks are throwing lots of reasons around. Last November, VW Group Chairman Ferdinand Piech told Bloomberg, "We understand Europe, we understand China and we understand Brazil, [but] we only understand the US to a certain degree so far." Analysts say the brand hasn't had midsize and compact SUV offerings, especially an overdue retail version of the CrossBlue, and the ones it does have are priced too high for their segments. It "didn't introduce enough new engines, or alternative technologies or model variants" for the Passat and Jetta. It devoted so many resources to China that the US market suffered. It was being outspent two-to-one on advertising by competitors. Its J.D. Power dependability ratings aren't high enough to overcome its past. It "has never really taken the US customer seriously." And so on.
There's still no official admission of defeat concerning the target, but reading between the lines there are some VW execs that appear to accept it won't happen short of some deus ex machina. Still,

Brazil contemplates safety exemption for VW Kombi as it goes out of production today [w/poll]

Brazil: the country of carnivals, indescribable beauty adjacent to abject poverty, Ayrton Senna and old Volkswagen models. Only they're not old - they're new, they're just based on old designs. The original Beetle continued production there long after it had been phased out elsewhere, but the original Kombi van has lasted much longer. That ends today, however, with the iconic VW Microbus ambling out of production on the last day of 2013.
VW kept making the van in Brazil with the original air-cooled 1.2-liter boxer four until 2005, after which the original design was updated with a 1.4-liter water-cooled engine. Today, however, it ultimately falls prey to safety regulations that mandate that all vehicles - no matter how old their design - need to have airbags and ABS, forcing Volkswagen do Brasil to cease production of the Microbus after a 56-year production run. But the latest word is that the Kombi (as it's presently known) could get a stay of execution - or at least a resurrection in short order.
According to reports, the Brazilian government is looking into granting the Type 2 Microbus an exemption from said safety regulations, reasoning that the van was designed long before the advent of airbags and ABS. If the measure goes through, the Kombi Last Edition (pictured above) could prove not to be the last at all. So what do you think, should the Microbus get an exemption from Brazilian safety regulations for nostalgia's sake? Vote in our poll below, then have your say in Comments.

Crash test videos show how rust compromises safety

These recently released Swedish videos serve as a reminder that rust isn't just a cosmetic flaw, when it comes to cars. The insurance company Folksam and the homeowner organization Villaagarnas Riksforbund gathered examples of two relatively popular, but by now rusty cars, and then performed crash tests with them at the Thatcham Research facility in Britain. The results are sobering. The rustier cars chosen for the tests were first-generation Mazda6s, cars that have a reputation for early-onset rust in salty surroundings, such as the Nordic countries in Europe or the Salt Belt in the U.S. The cars in the other end of the spectrum were fifth-generation Volkswagen Golfs, which thanks to their body treatment only really start to show rust at over ten years old. But rust isn't just on the surface, it goes bone deep. While the Mazda did decently well in Euro NCAP testing as a new car, there's now a 20 percent higher risk of death in the 2003-2008 Mazda due to the degradation of its bodyshell. In the rusty car, the chassis rail separates from the floor, the footwell ruptures, the sill gives way, the seat mountings move and the dummy's head hits the B-pillar; all important failures, despite Thatcham saying the cars actually performed better in the crashes than they expected with all the rust. But still, the corroded structure isn't able to transmit loads in the way it was originally designed to do. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. The Golf does significantly better — despite rust flakes flying when the Golf hits the wall — as the years have only caused it to lose a single point. An important thing to remember is that the cars aren't tested in comparison to corresponding new, 2018 cars: the tests are in reference to the crashworthiness standards in place when they were new. The cars' airbags inflate like they were supposed to, but on the Mazda the dummy's head bottoms out the airbag due to the car's structure failing, meaning the airbag cannot perform as designed. Driven cautiously, an older car is still mostly fine for driving around. But tests like these remind us that it's not enough that a car runs and drives, if the body has turned into Swedish knackebrod. And if you repair the visible rust and the structure underneath remains as compromised as ever, there's an ugly truth under all the bondo. Perhaps it isn't such a bad idea to have yearly roadworthiness inspections.