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VW recalls 220,000 Atlases, Atlas Cross Sports for airbag defect [Updated]

[Update: Audi of America has confirmed that no U.S. models are among the recall population for plug-in hybrid fire issue.] Volkswagen has issued yet another recall for its Atlas SUV, this time for side airbags that may not deploy correctly in an accident due to a problematic connection in one of the vehicle's wiring harnesses. The campaign covers 222,892 Atlas and Atlas Cross Sport models built for the 2019-2023 model years.  The issue stems from a connection with the wiring harness that runs from the A-pillar into the door. VW says that harnesses produced by one of its suppliers were not built with additional measures to prevent movement at the connection point. Small movements can cause abrasion of the metal contacts which could lead to a whole host of electronic misadventures, including the potential for airbag deployment to be delayed in a crash.  "Micro-movement of the wire harness (terminal A-Pillar to front door) can result in damage to the wire terminal surface. Damage to the surface can [result] in fretting corrosion which may cause sporadic interruption in the electrical connection to the components of the front door," VW said in its defect notice. "The airbag warning light may illuminate if a malfunction is detected. Other symptoms of a sporadic interruption of the affected electrical connection can be: inadvertent rolling down windows, inadvertent park brake engagement at low speeds (below approx. 3km/h or 1.8mph), warning regarding faulty door sensor," VW said.  Not every model built within the range defined above is subject to the recall; terminals from other suppliers were manufactured with the necessary safeguards in place. If you own a 2019-2023 Atlas or Atlas Cross Sport, keep your eyes peeled for a notification from VW regarding the campaign, likely some time in early-mid May.  PHEV problems Across the Atlantic, the VW Group mothership confirmed that it will recall more than 100,000 plug-in hybrid models worldwide to address a fire risk. The recall was launched in response to 16 reported incidents of fires stemming from insufficient insulation of the PHEV battery pack that allows the engine cover to make contact if it is not completely secure. If that happens, the heat from the battery can ignite the engine cover. The recall will cover PHEVs build by VW, Audi, Seat and Skoda, Reuters reports, including the VW Passat, Golf, Tiguan and Arteon — plug-in variants of which are not sold in the United States.

Porsche-Piech buy 10% stake in VW's holding company

In August, 2009, as the scuttled merger of Porsche and Volkswagen had gone bad and Porsche was backed up against the ropes, Porsche Automobil Holding SE (PAHSE) relinquished a ten-percent stake in itself to Qatar Holdings as well as options it held on 17 percent of VW shares. The sale meant that, for the first time since the founding of the company 61 years before, an entity outside the Porsche and Piech families had a say in the running of PAHSE.
Buying that ten-percent stake back returns full ownership to the two families, the holding company's sole possession being ownership of 50.7 percent of VW's common shares. The price paid wasn't disclosed, but at market rates the purchase would be worth close to $1.25 billion. Qatar intends to hold onto the 17-percent stake it has in Volkswagen.

VW launches cheaper 2016 e-Golf SE to challenge Nissan Leaf

Volkswagen is taking the fight to Nissan in the battle of EV hatchbacks for the 2016 model year with the new, less expensive e-Golf SE trim level. With a starting price of $29,815 (after $820 for destination but before incentives), the model undercuts the $29,860 2015 Leaf S (after $850 destination) by just $45. Lease rates are $199 a month. The 2016 e-Golf SEL Premium is $150 more than last year at $36,415, making the difference between the two trims a significant $6,600. VW isn't letting out much of the info on the SE yet, and the company's release simply says the trim "offers most of the features of the SEL Premium model." The new entry does come standard with a 3.6-kW onboard charger, and a 7.2-kW DC fast charging package is optional later in the year. Inside, there's VW's 6.5-inch MIB II infotainment system, versus an eight-inch version in the SEL Premium with the company's Car-Net App-Connect and Travel Link. The e-Golf is rated at an 83-mile range by the EPA, and it's electric motor produces 115 horsepower and 199 pound-feet of torque. The electric hatchback has already proven itself a moderate success in Europe through the first two months of 2015, and the VW actually beat the Leaf there in sales volume. In the US, the model has moved 1,831 examples through July, compared to 10,990 for the rival Nissan.