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Volkswagen building budget car family planned for China in 2018

Volkswagen has publicly pondered a low-cost car for China, something akin to Nissan's Datsun revival in Southeast Asia, for at least three years. In 2013 it tapped Chinese partner FAW to help develop an entire budget brand, with plans to have something on the market in 2016 in the 6,000- to 8,000-euro range. About a year ago, VW said it couldn't figure out how to engineer an inexpensive car that didn't run counter to the brand's values, then three weeks later said it had overcome the issues. Reuters now reports that VW CEO Martin Winterkorn told German newspaper Bild am Sonntag, "We will bring a budget-car family to market in 2018, with an SUV, saloon and hatchback." Winterkorn didn't offer any other details like who VW would work with to build it - VW has partnerships with both FAW and SAIC, but the announcement will be welcomed by the brand's Chinese outpost. When this adventure started, VW said it was working to create a model that would cost 6,000 to 8,000 euro. That estimate has increased. Winterkorn is now saying the 2018 offerings will come in between 8,000 and 11,000 euro. In a straight euro-to-yuan conversion, that would equate to Chinese pricing of 56,000 to 77,000 yuan. For comparison, the New Polo with a 1.4-liter engine and a manual transmission starts at 85,900 yuan. Perhaps with an eye on the success of the Nissan-Renault sub-brand Dacia in Europe and emerging markets, Winterkorn told Bild, "We will see if this is something of interest for other markets as well." On the opposite end of the price/performance spectrum, Winterkorn also said that VW is working on two new models for Bugatti, one powered by a traditional gasoline engine and another with some sort of hybrid setup. The latter model would reportedly be the higher-performing of the two, though it's not clear whether there would be two vehicle lines or two versions of the same vehicle. As ever, as soon as we know more, so will you.

NHTSA, IIHS, and 20 automakers to make auto braking standard by 2022

The National Highway Traffic Safety Administration, the Insurance Institute for Highway Safety and virtually every automaker in the US domestic market have announced a pact to make automatic emergency braking standard by 2022. Here's the full rundown of companies involved: BMW, Fiat Chrysler Automobiles, Ford, General Motors, Honda, Hyundai, Jaguar Land Rover, Kia, Mazda, Mercedes-Benz, Mitsubishi, Nissan, Subaru, Tesla, Toyota, Volkswagen, and Volvo (not to mention the brands that fall under each automaker's respective umbrella). Like we reported yesterday, AEB will be as ubiquitous in the future as traction and stability control are today. But the thing to note here is that this is not a governmental mandate. It's truly an agreement between automakers and the government, a fact that NHTSA claims will lead to widespread adoption three years sooner than a formal rule. That fact in itself should prevent up to 28,000 crashes and 12,000 injuries. The agreement will come into effect in two waves. For the majority of vehicles on the road – those with gross vehicle weights below 8,500 pounds – AEB will need to be standard equipment by September 1, 2022. Vehicles between 8,501 and 10,000 pounds will have an extra three years to offer AEB. "It's an exciting time for vehicle safety. By proactively making emergency braking systems standard equipment on their vehicles, these 20 automakers will help prevent thousands of crashes and save lives," said Secretary of Transportation Anthony Foxx said in an official statement. "It's a win for safety and a win for consumers." Read on for the official press release from NHTSA. Related Video: U.S. DOT and IIHS announce historic commitment of 20 automakers to make automatic emergency braking standard on new vehicles McLEAN, Va. – The U.S. Department of Transportation's National Highway Traffic Safety Administration and the Insurance Institute for Highway Safety announced today a historic commitment by 20 automakers representing more than 99 percent of the U.S. auto market to make automatic emergency braking a standard feature on virtually all new cars no later than NHTSA's 2022 reporting year, which begins Sept 1, 2022. Automakers making the commitment are Audi, BMW, FCA US LLC, Ford, General Motors, Honda, Hyundai, Jaguar Land Rover, Kia, Maserati, Mazda, Mercedes-Benz, Mitsubishi Motors, Nissan, Porsche, Subaru, Tesla Motors Inc., Toyota, Volkswagen and Volvo Car USA.

2015 VW Beetle GRC packs 553 rallycrossing horsepower

In case you couldn't tell from all the wings and vents, this is not your average Volkswagen Beetle. It's the rally machine Tanner Foust and Scott Speed will be driving in the Global Rallycross Championship this year. Don't let the retro form fool you – it is an absolute beast. Last year's Beetle GRC packed a 1.6-liter turbo four good for an astonishing 544 horsepower and 387 pound-feet of torque, but the new one does one better: it now features a 2.0-liter turbo four good for 553 hp and 465 lb-ft. That's right – in a Beetle. It's also got ZF dampers, 9.5 inches of suspension travel, 14-inch front brake discs with four-piston calipers packed into 17-inch wheels and, of course, all-wheel drive. The result? 0-60 in – wait for it – two seconds flat (or thereabouts). It's geared low so it'll only top out at around 125 miles per hour, but that's all it needs for the short tracks on which it's designed to compete. Foust and Speed will be driving this beast for Andretti Autosport in the 2015 championship that kicks off at the end of May in Ft. Lauderdale. Both have quite the act to follow as Foust won back-to-back titles in 2011 and 2012, and former F1 driver Speed won three rounds last season to finish third in the standings. Related Video: VOLKSWAGEN ANDRETTI RALLYCROSS TEAM UPDATES BEETLE GRC CARS FOR 2015 SEASON Tanner Foust and Scott Speed will contest the 2015 Red Bull Global Rallycross Championship with a pair of 2.0-liter Beetles Indianapolis, IN (April 29th, 2015) - After a strong performance in its inaugural season, the Volkswagen Andretti Rallycross team is ready to challenge for this year's driver and manufacturer titles in the Global Rallycross Championship. In 2015, the team will be on the attack with two Beetle GRC race cars, which debuted in the final races of 2014. This rallycross car is the ultimate expression of the third-generation Beetle. Designed and engineered from the outset as a GRC car, it features a sequential six-speed transmission, with a fixed-ratio all-wheel-drive system that features multiplate limited-slip differentials at the front and rear. For the 2015 season, the team has chosen to change the engine specification from the car that ran in selected rounds of the 2014 series. In place of that car's 1.6-liter turbocharged and intercooled TSI® four-cylinder engine, there is now a 2.0-liter TSI engine that produces 553 horsepower and 465 pound-feet of torque, compared to 544 hp and 387 lb-ft for the 2014 car.