2005 Volkswagen Passat Gls on 2040-cars

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VW investigating Golf water leak discovered by car magazine

Volkswagen is in a spat with German magazine Auto Bild over claims that its new, seventh-generation Golf may already need a recall. The German weekly reports that new Golfs can leak water into front-passenger footwells due to a faulty drainage tube in their air conditioning systems.
And while the fix itself doesn't sound too terrible, because Volkswagen bases so many cars off the same platform as the Golf, Auto Bild is claiming that 300,000 models could be affected, including the Audi A3 and Seat Leon. That's a very bold claim. For its part, VW is vehemently denying that number, according to Reuters, saying it's aware of the problem and claiming only 46 Golfs need fixing. In addition, it denies that any Audi or Seat models are affected by the issue.
Either way, regardless of how pervasive this leak issue is, North American buyers should rest easy knowing that the problems ought to get fixed by the time the Mk VII Golf finaly reaches our dealerships.

New investor allows Suzuki to fend off VW

After years of legal wrangling, the long-soured partnership between Volkswagen and Suzuki looks finally to be coming out of arbitration, according to Bloomberg. As a sign of the Japanese brand's improved fortunes, hedge fund Third Point LLC recently bought an undisclosed stake in the company. The investor reported seeing a major opportunity in the successful Maruti Suzuki business in India. As an investment, the only major problem that Third Point found with Suzuki was its legal battle with VW. "The company's greatest asset is its low-cost manufacturing process for vehicles for the emerging market consumer," the fund said in a letter, according to Bloomberg. Third Point reportedly also wants a seat on Suzuki's board, despite being a minority shareholder. The alliance between Suzuki and VW goes back to late 2009. In the deal, the Japanese brand was meant to get access to cutting-edge tech, and the German firm got a helping hand towards better establishing itself in India and Southeast Asia. Things didn't go as planned, though. Less than two years later, Suzuki's boss publicly derided the deal. Eventually, the allegations started going back and forth, and the two have been working out a way to untangle practically ever since. Among the biggest issue has been how to get back the 19.9 percent stake that VW purchased. According to Bloomberg, the arbitration is now technically over. With the divorce nearly final, the two sides are just waiting on a decision on how to split things up. Suzuki may even just buy VW's stake to get the shares back.

UCS replaces VW's green title with 'dirtiest tailpipe'

When it comes to tailpipe emissions, Volkswagen may have leapfrogged Ford and General Motors. Just not in the right direction. That's what the Union of Concerned Scientists (UCS) is saying in the wake of the German automaker's diesel-emissions scandal. After recalculating what it thinks are the real-world diesel-engine tailpipe emissions levels now that we know about VW's "defeat devices," the UCS says the actual diesel emissions would cause the company's total fleet to worsen its environmental impact by about 25 percent. The VW diesels alone, which account for just 0.7 percent of new-vehicle sales, would most likely make up eight percent of total light-duty-vehicle tailpipe emissions, UCS says. Prior to the scandal, the UCS had VW tied with Toyota and Nissan for the third-cleanest fleet, behind Hyundai/Kia and Honda. The recalculated VW has been downgraded to Chrysler territory, which is, in effect, the bottom of the heap when it comes to tailpipe emissions. The UCS adds that the current VW diesels spew out the amount of emissions similar to a typical 2005 vehicle. So much for moving forward. You can read UCS' rather scathing synopsis here. UCS isn't the first entity to bump down Volkswagen's green-car credentials after the discovery that its diesels might be emitting as much as 40 times the nitrogen oxide (NOx) emissions during typical driving than official test results said they did, and isn't likely to be the last. In September, Green Car Journal stripped the 2009 VW Jetta TDI and 2010 Audi A3 TDI diesels of their Green Car Of The Year Awards. The American Council for an Energy-Efficient Economy (ACEEE) also removed VW diesel vehicles off of its "Green Scores" list last month.