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Volkswagen's 261-mpg hand-built XL1 headed for Geneva

After years of rumors, development and testing, the Volkswagen XL1 is finally about to become a reality. The project that began life as a daring 1-Liter concept car in 2002, will finally get its production-ready curtain call at the Geneva Motor Show in just a few weeks.
As soon as it hits the streets, the two-seat XL1 will instantly become the most fuel-efficient and most aerodynamic production car in the world. The car uses a plug-in hybrid system to achieve mind-blowing consumption of just 0.9 liters of diesel fuel consumed every 100 kilometers (and average of roughly 261 miles per gallon). Plus, the XL1 can go up to 50 kilometers on its battery power alone. Coefficient of drag is a miniscule 0.189, thanks to a tiny frontal area and an obviously slippery shape.
XL1 power comes from a two-cylinder diesel motor connected to a seven-speed dual-clutch gearbox, while the 20 kW electric motor is fed by a lithium-ion battery. Both combine to give the XL1 performance figures that are, while not stirring, not shabby considering its extreme frugality: 0-62 miles per hour comes up in 12.7 seconds and top speed is nearly 146 mph.

Volkswagen reveals Beetle GSR, R-Line convertible and two special GTIs

Volkswagen has chosen to really expand its performance-tuned portfolio at this year's Chicago Auto Show, bringing along a couple of new Beetles destined for model year 2014, as well as a pair of freshened GTI packages that you'll be able to buy almost right away.
The first, and splashiest of the Chicago goodies on the VW stand has got to be the 2014 Volkswagen Beetle GSR. Don't lose your temper, Acura Integra geeks; in this case, GSR stands for "Gelb Schwarzer Renner" or "Yellow Black Racer," and harkens back to a sport-tuned classic Beetle from the 1970s. For the 2014 iteration, the GSR gets a 210-horsepower version of VW's 2.0-liter turbo four-cylinder. That engine is enough to push the Beetle to 60 miles per hour in 6.6 seconds, and up to a top speed of 130 mph.
Of course, you'll have long-since noticed the shockingly yellow-and-black livery before you stumble across the Turbo badge on the rear deck. The GSR gets 19-inch alloy wheels, 235-section tires and a tea-tray rear spoiler, but it's the paint and graphics package that will decide if this is your (lemony) cup of tea. Things don't get any subtler inside the car, either, as VW has carried the colorway through to the interior, as well. Only 3,500 Beetle GSRs will be produced, with just more than half of those going to the US - call your dealer today, Wiz Khalifa.

Audi investing $30.3 billion through 2018 for product expansion

How does Audi plan to reach two million units in annual sales and pay for the 11 new models it's adding to its lineup - an expansion that may include models named SQ2, Q9 and F-Tron? By increasing its investment to 22 billion euros ($30.3 billion US) between now and 2018. That figure represents an increase of about 500 million euros over the previously planned outlay, according to a report by Automotive News, and that could be due to Audi wishing to goad the momentum that pushed it to 1.5 million annual sales two years ahead of schedule.
It's also about staving off the challenges from BMW and Mercedes-Benz. Now that BMW has been able to turn some of its attention away from its "i" series of Megacity cars, it will reportedly spend more than planned in 2014 as it continues the rollout of ten all-new vehicles and 15 new-generation vehicles through the end of next year. Mercedes, having been dropped to third in the sales race, is preparing to add 13 new cars over the next six years.
Audi's money is going into technology, into product like the next-generation TT and the Q1 and production expansions and upgrades all over the world. The expenditure represents just under a fourth of Volkswagen's 84.2 billion-euro ($115.7 US) outlay devoted to taking the number-one global automaker title away from General Motors and Toyota by 2018.