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VW and partner SAIC start building $2.5B Audi plant in China

BEIJING — Volkswagen AG's China joint venture with SAIC Motor Corp has started building a $2.5 billion new energy vehicle (NEV) plant in Shanghai, which will make VW's luxury Audi brand cars, a possible first for the venture. The new plant is a key step for Audi to diversify production of its cars in the world's largest car market from its long-standing local partner, China FAW Group Corp. This shift has been delayed amid resistance from local dealers. SAIC Volkswagen said the new plant would have an annual capacity to make 300,000 cars and begin production from 2020. Audi sold 481,387 vehicles in China from January to September this year. The announcement comes the same week Tesla secured a Shanghai location for a Gigafactory battery plant to serve the Chinese market. Audi unveiled the plan to bolster ties with SAIC in late 2016. Earlier this year, the Germany luxury carmaker bought a 1 percent stake in the SAIC Volkswagen venture, paving the way for the joint venture to produce and sell Audi cars. Volkswagen currently gets a larger proportion of the proceeds from the 50-50 tie-up with SAIC than from its 40 percent stake in the venture with FAW. SAIC Volkswagen said in a statement on Friday the plant would cost 17 billion yuan ($2.5 billion) and would make VW and Skoda models as well as Audi cars. It will help VW tap China's fast-growing market for NEVs, a category comprising electric battery cars and plug-in electric hybrid vehicles. ($1 = 6.9314 Chinese yuan renminbi) Reporting by Yilei Sun and Adam JourdanRelated Video: Image Credit: Reuters Green Plants/Manufacturing Audi Volkswagen Skoda Electric Hybrid

Audi RS Q3 is funky, chunky, spunky forbidden fruit [w/videos]

After salivating over the Audi RS6 Avant last night, we're happy to see yet another RS-branded Audi here on the show floor at the Geneva Motor Show. Meet the RS Q3, Audi's first ever high-performance crossover, showing what's possible when the Ingolstadt automaker brings its best sporting bits to its smallest CUV.
Powering the RS Q3 is Audi's 2.5-liter turbocharged five-cylinder engine - the same one found in sweetie-darlings like the TT RS and RS3. Output is rated at 310 horsepower and 309 pound-feet of torque, sent to all four wheels via the automaker's seven-speed S-tronic dual-clutch transmission. Weighing in at just over 3,800 pounds, the RS Q3 is indeed a porky little pig, but no matter - that forced-induction fire will propel the small crossover to 62 miles per hour in five and a half seconds. And that's with launch control, too.
The RS Q3 certainly looks the part of a proper sporty Audi, with exaggerated air vents and bulgy, aggressive bits all around. Honestly, we like the way the RS package has translated to the Q3 form - this design really works well on the smaller CUV package. Inside, performance-minded fittings like a flat-bottomed steering wheel, upgraded gauges and sport seats bring the whole RS pack full circle. We'll admit, we're definitely intrigued by this little guy.

Recharge Wrap-up: Smart metals, OTA updates, Rolls-Royce LNG ship

"Smart" metals could help engines reduce emissions and invigorate US business. Metallurgist and University of Wisconsin – Milwaukee professor Pradeep Rohatgi combines known metal alloys with materials like ceramics, nanoparticles, and recycled waste to produce strong, lightweight composites with self-lubricating properties that help internal combustion engines run more efficiently. Rohatgi hopes his startup, Intelligent Composites, and its products can help US foundries compete with production outsourced overseas. See the video above, and read more at Phys.org. Almost 203 million cars will be capable of over-the-air (OTA) updates by 2022, according to ABI research. While Tesla has the OTA firmware updates nailed down, other automakers will focus on software update capability. This will take the place of dealer-installed updates and - like Chrysler did after the Jeep hacking incident - updates sent to owners via USB drives. OTA updates will enhance vehicle security and reduce recall rates. Read more at Green Car Congress. European bus manufacturers have agreed upon a standardized charging interface for their electric buses. Irizar, Solaris, VDL and Volvo will use pantograph charging for "opportunity charging" and CCS plugs as the base for overnight charging and network communication. The manufacturers hope other bus makers and charging providers to join them in cooperation over standardized charging. Read more at Green Car Congress. The second Audi Autonomous Driving Cup will take place from March 22 to 24, 2016 at the automaker's Museum Mobile in Ingolstadt, Germany. The competition involves eight university teams implementing basic Audi software in 1:8 scale electric Audi Q5 models, and putting them through the paces of simulated real-world driving situations. The teams develop software architecture to use the suite of sensor to have the cars drive, park, maneuver in traffic and perform emergency braking autonomously. Teams also perform a freestyle event where they put the car through an additional task of their choosing. The winning team gets ˆ10,000, with smaller prizes for second and third place. The competition also gives the students the opportunity to showcase their skills in front of a potential employer. Read more at Green Car Congress. Rolls-Royce will provide the Liquefied Natural Gas (LNG) propulsion for an NSK cargo ship carrying fish food. The ship will deliver 2,700 metric tons of fish food to fish farms along the Norwegian coast.