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VW using other manufacturing locations as leverage in battle with TN [w/video]

We've reached a new step in the ongoing drama at Volkswagen's factory in Chattanooga, TN. The United Auto Workers recently dropped its opposition to the union vote and agreed that it wouldn't hold another ballot for at least a year. Now, the new question becomes where VW is going to build its forthcoming midsize SUV.
Earlier, it had been considered all but certain that the SUV, likely a production version of the CrossBlue concept (pictured above), would be built in Tennessee. However, it seems the Chattanooga factory might have competition to produce it. In emails obtained by The Detroit News, VW's lawyer wrote to the Tennessee economic development department in January saying, "While we understand there are some 'non-deal' issues that are causing a delay in the TN solution, VW has been successful in reaching agreement on terms at the alternative locations."
As previously reported, the state of Tennessee allegedly offered VW about $300 million in incentives to build the vehicle there and create an estimated 1,350 jobs, but it later rescinded the deal. Newly leaked documents from NewsChannel 5 (WTVF-TV) in Nashville allegedly show just how close that offer was to being completed. It appears that VW actually sent the government the first draft of a memorandum of understanding agreeing to the incentives, but the state removed the offer in late January.

Volkswagen Group recalls 281,505 VWs and Audis for fuel leaks

The Basics: Volkswagen Group is recalling 281,505 total Volkswagen and Audi brand products in the United States for potential fuel leaks. Certain versions of the Audi A3, A6, A7, Q5, and Q7 are affected. In addition, some versions of the Volkswagen Golf, Golf SportWagen, and Golf GTI fall under the recall. It's unclear if vehicles outside of the United States will be recalled as well. The Problem: There are actually three separate recalls for three separate issues that all pertain to leaky fuel. All three recalls were issued simultaneously. The risk of unintended ignition is the main concern here. First off, 2012-2013 Audi A6 and Audi A7 models [28,249 cars] are being recalled because of a degrading fuel hose in the engine compartment. Secondly, 143,214 gas-powered 2009-2012 Audi Q5s and 2007-2012 Audi Q7s are being recalled. The fuel cap may crack on these vehicles, leaking fuel. Finally, 110,042 total units of the 2015-2016 Volkswagen Golf, Golf SportWagen, GTI, Audi A3 sedan, and A3 Cabriolet will be recalled because of fuel leaking from the evaporative emissions system. Injuries/Deaths: According to Reuters, Volkswagen has reported no injuries or deaths related to the fuel leaks. In addition, the company has said there have been no fires started due to the leaks. The Fix: Three separate issues means three separate fixes. Volkswagen and Audi will be reaching out to customers soon, though the parts aren't yet available. For the A6 and A7, Audi will simply replace the under hood hose. For the Q5 and Q7, dealers will clean the pump flange and install a butyl rubber band to protect the pump. Finally, the affected Golf and A3 models will have the suction cup in the emissions system replaced. If you own one: Volkswagen and Audi will begin contacting owners starting next month regarding a fix. Related Video: News Source: NHTSA, Reuters Recalls Audi Volkswagen

Will VW's rumored 186-mile EV battery be enough?

Just as there continues to be a horsepower war in the realm of performance cars, there's an ongoing battle over driving range among electric vehicles. Both the Tesla Model 3 and Chevrolet Bolt are promising around 200 miles for a relatively affordable price in or around 2017. Plus, Nissan is reportedly nearing a 250-mile Leaf for about the same time and Ford might be joining the game, too. Volkswagen might be the latest potential challenger with some extra distance possible from its future EVs. According to Hybrid Cars, Volkswagen Chairman Martin Winterkorn tells Bild in Germany that the company is developing a new generation of battery tech with major gains, and it could reportedly provide a range of around 186 miles. That's more than double the current 83-mile EPA certified range for the e-Golf but falls short of the projections from competitors. Winterkorn didn't indicate exactly when this innovation would be ready for production, though. Especially in recent months, the German automaker is making serious moves towards big advancements in battery tech, and the company's platforms are largely already prepped to become EVs. The entire VW Group is reportedly considering moving to a single, unified lithium-ion cell design, and that switch could cut component costs by as much as 66 percent. In late 2014, the German automotive giant also bought five percent of the US-based startup QuantumScape. That business has claimed a staggering 430-mile range from its fireproof, solid-state lithium batteries, but the proof will need to be seen on the road – and in whatever the competition is able to accomplish whenever a car is finally available.