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VW may move production because of Russia's cutoff of natural gas

Volkswagen AG is exploring ways to counter a shortage in natural gas, including shifting production around its network of global facilities, signaling how the energy crisis unleashed by Russia’s invasion of Ukraine threatens to upend EuropeÂ’s industrial landscape. Volkswagen, EuropeÂ’s biggest carmaker, said Thursday that reallocating some of its production was one of the options available in the medium term if gas shortages last much beyond this winter. The company has major factories in Germany, the Czech Republic and Slovakia, which are among European countries most reliant on Russian gas, as well as facilities in southern Europe that source energy from elsewhere. “As mid-term alternatives, we are focusing on greater localization, relocation of manufacturing capacity, or technical alternatives, similar to what is already common practice in the context of challenges related to semiconductor shortages and other recent supply chain disruptions,” Geng Wu, VolkswagenÂ’s head of purchasing, said in a statement.  RussiaÂ’s decision to throttle gas supplies to Europe has raised concerns that Germany might be forced to ration its fuel. Recent news that gas storage levels hit 90% ahead of schedule has soothed fears of acute shortages this winter, but Germany faces a challenge in replenishing depleted reserves next summer without contributions from Russia. Southwestern Europe or coastal zones of northern Europe, both of which have better access to seaborne liquefied natural gas cargoes, could be the beneficiaries of any production shift, a Volkswagen spokesman said by phone. The Volkswagen group already operates car factories in Portugal, Spain and Belgium, countries that host LNG terminals. Labor hurdles To be sure, any major production shift away from EuropeÂ’s biggest economy would face significant hurdles. VW has some 295,000 employees in Germany and worker representatives account for around half the companyÂ’s 20-member supervisory board. Any shift in production would likely involve a limited number of vehicles rather than wholesale factory shutdowns. While gas supplies for VWÂ’s plants are currently secured, the company has identified potential savings at its European sites to cut gas consumption by a “mid-double-digit percentage,” said Michael Heinemann, managing director of VWÂ’s power-plant unit. Still, the carmaker said it was concerned about the effect high gas prices could have on its suppliers.

Audi RS Q3 Performance pours sugar on the forbidden fruit

Don't let anybody tell you that Europeans don't like powerful SUVs any less than Americans do. They just like theirs a bit smaller. Case in point: the new Audi RS Q3 Performance. The latest in the ne plus ultra from Quattro GmbH joins the RS6 Avant Performance and RS7 Sportback Performance in dialing up the power even further. So while the 2.5-liter turbocharged inline-five carries over from the existing RS Q3, its output swells to 367 horsepower (27 more than before) and 343 pound-feet of torque. As a result, this tall take on the hot hatch blasts to 62 in just 4.4 seconds before topping out on the open Autobahn at nearly 168 miles per hour. Along with the power boost, the RS Q3 Performance benefits from a retuned seven-speed dual-clutch transmission, which works in tandem with the hydraulically actuated, electronically controlled all-wheel-drive system to get the power down to the road. The suspension is lowered, with available adaptive dampers fitted to 20-inch alloys. There are subtle details inside and out to distinguish it from "lesser" RS Q3 models. Unfortunately while Audi does offer the Q3 in base form here in America, it doesn't offer the RS variant altogether, let alone this new enhanced version. In fact the RS7 is the only model in the line we get here, so we'll just add this one to our growing list of forbidden fruit that we'd like to taste. Our compatriots in Germany, however, can pick one up right away for 61,000 euros, before it even makes its debut at the Geneva Motor Show next month. Related Video: 02/04/16 | Ingolstadt Pure power: the Audi RS Q3 performance - New top model with more power and exclusive equipment - Award-winning five-cylinder with 270 kW (367 hp) - Now accepting orders for the Audi RS Q3 performance Audi ignites the next stage of performance in the compact, high-performance SUV segment: The Audi RS Q3 performance* impresses with an output of 270 kW (367 hp) and 465 Nm (343.0 lb ft) of torque. This incredible power catapults the new top-of-the-line model from 0 to 100 km/h (62.1 mph) in just 4.4 seconds. Standard top speed is 270 km/h (167.8 mph). The premium brand is honing its sporty profile with new RS performance models. The "performance" in the name stands for both a significant power boost and exclusive equipment that clearly elevates the respective model above the rest of the portfolio. This also applies to the new RS Q3 performance, whose pulse is driven by the legendary Audi five-cylinder engine.

Audi on Demand pilot program launches in San Francisco

Customers eager to drive a new Audi but unwilling or unable to plunk down the purchase price for one will be intrigued by the launch of the new Audi on Demand program. Initially being rolled out in San Francisco, Audi on Demand is based around an iPhone app that allows clients to order up a new Audi of their choosing on a day-by-day basis for up to 28 days in a row. Order an Audi through the app and a "personal concierge" will deliver the car anywhere in the city – curbside, driveway, parking lot, office building... pretty much anywhere the customer chooses. The concierge will even help set up the audio and navigation systems to the customer's preferences. And if the customer isn't there to receive the vehicle in person, he or she can simply unlock it through the app, start it up and drive off. The service is being made available on a broad range of Audi models, from the A4 all the way up to the R8. Customers can even specify a child seat or (on an Allroad or Q5) a ski or bike rack, and are guaranteed that the vehicle they select will be the one they get, right down to the color and trim. Though being launched at first only in San Francisco, Audi says it will roll out the program in other American cities "in the coming years." In announcing the program, Audi also revealed that it's planning to launch Audi at Home as well, a "micro-sharing" service that will allow residents of select condo complexes to share a fleet of Audis as well. These, of course, are just the latest smartphone-enabled conveniences being introduced by the German automaker, following its collaboration with Amazon and DHL for in-trunk delivery. Related Video: Audi launches innovative mobility program: Audi on demand April 27, 2015 | SAN FRANCISCO, California - Audi on demand launches beta program in San Francisco - Innovative premium service allows customers to choose their preferred Audi model via iPhone app - Personal concierge delivers vehicle to a San Francisco location of customer's choosing Audi today introduced Audi on demand, an innovative mobility program that gives customers a new way to experience the Audi brand and its range of vehicles at the touch of a button. With Audi on demand, customers can reserve an Audi by the day for up to 28 days. The premium service is currently available in San Francisco as part of a beta program and will be rolled out across additional U.S. cities in the coming years.