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VW Group to split brands under four holding companies

The Volkswagen Group is planning a tremendous shift in its internal structure that will decentralize operations by splitting its 12 brands into four different holding companies. Here's the breakdown. Things will be split logically, considering the inter-sharing of parts, platforms, and engines. The Volkswagen brand, Seat, and Skoda make up a passenger vehicle division led by former BMW man Herbert Diess. Audi, which is tightly intertwined with Lamborghini and motorcycle manufacturer Ducati, will be managed by current Audi exec Rupert Stadler. Porsche and Bentley, which are already quite close, will be joined by Bugatti and run by Matthias Mueller. Finally, a commercial vehicles division will include Volkswagen Commercial, Scania, and Man. Former Daimler exec Andreas Renschler will take care of the big vehicles. The massive move, according to Automotive News Europe, is part of an internal VAG effort to move away from the structure established by ousted Chairman Ferdinand Piech, who favored a compact, but highly centralized, management structure to oversee the independent actions of the company's brands. Criticism of Piech's arrangement stemmed from the company's slow responses to changes in the market, ANE reports. The new structure should make for a more efficient, streamlined company that's better able to make crucial decisions. What are your thoughts? Should VAG decentralize, or did Piech have the right idea? Have your say in Comments.

2015 Volkswagen Golf: Green Car of the Year?

As you may recall, VW's compact Golf was voted 2015 North American Car of the Year by a jury of 57 veteran automotive journalists (including this one) and named Car of the Year by Motor Trend and Yahoo Autos and Best Car to Buy 2015 by Green Car Reports. "The range of green options in the 2015 Volkswagen Golf range is hard to beat," says Green Car Reports editor John Voelcker. "With more fuel-efficient gasoline engines, a new TDI diesel option that comes close to real-world hybrid mileage levels, and the all-electric VW e-Golf, the 2015 Golf gives buyers a good-better-best menu of options for driving green." The car was also a finalist for Green Car Journal's "Green Car of the Year," but ultimately lost to the BMW i3 EV. When I saw GCJ editor Ron Cogan at last November's Los Angeles Auto Show, he asked me to guess which finalist would win. Based on its efficiency and versatility, I guessed the Golf. He smiled but the next day, he named the i3 the winner. Okay, the technically impressive, carbon-fiber-bodied i3 is a formidable green machine wearing a prestige German label at a semi-affordable ($43,000) price. But it comes in just one (somewhat odd-looking) body style with a choice of all-electric or range-extending electric powertrains, and its EPA-official ranges are 81 miles for the former and just 150 for the latter, costlier version, which totes a tiny (647cc) 34-hp two-cylinder BMW motorbike engine in its tail. By contrast, the 2015 Golf comes in 3- and 5-door hatchback and even more practical Sportwagen body styles and offers a wide range of eager yet fuel-thrifty turbocharged gas and clean-diesel engines, most with a choice of manual or automatic transmission. An all-electric e-Golf, one of the best EVs we've yet driven, is also available in some areas, and that will be followed, VW says, by a hybrid, a plug-in hybrid and even a CNG-powered model. No question this all-new seventh-generation 2015 VW Golf is easily the best ever. A bit larger, roomier, aerodynamically slicker and more fuel efficient than the Gen VI Golf it replaces, it's built on an all-new modular platform and boasts an amazing range of models, powertrains and features.

VW promises 7-seat CUV for America in 2016

On the eve of the Detroit Auto Show, Volkswagen chief executive Martin Winterkorn has confirmed the imminent arrival of a new crossover. The model, previewed at the same show last year by the CrossBlue concept pictured here, will be unique to the North American market when it arrives here in 2016. The new three-row, seven-seat crossover is part of an ambitious expansion plan on the part of Volkswagen and Audi in North America, where the two brands aim to sell a million vehicles by 2018.
That's a mighty big increase over the 600,000 vehicles which the Volkswagen Group sold here last year, but it's moving in the right direction: That number is already a 100-percent increase of what it sold here just five years ago. At that rate, VW should have little trouble meeting its goals, particularly with the arrival of the new crossover and the introduction of Golf production at its assembly plant in Puebla, Mexico. Read the full statement below for more.