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Audi A3 supplies tight, model stealing Honda, Toyota sales

It appears that there was a pent up demand for compact, front-wheel drive German luxury sedans that no one really knew about. Not only has the Mercedes CLA-Class been a success in the US with its Hungarian factory running three shifts to keep up, but the Audi A3 Sedan is doing quite well, too, after just three full months on the market.
Audi of America recently announced that the compact sedan shifted 2,452 vehicles in June and 7,735 units of the A3 since the beginning of the year. Not only are they selling; it's the people buying them that's important. According to Audi USA spokesperson John Schilling speaking to Autoblog, "A little over 25 percent of A3 buyers in April were 30 years or under." That's compared to about 18 percent for the A4, he said. Company executives also recently told Edmunds that many of those new customers are brand conquests turning in Honda or Toyota models. We gently mocked Audi when it held A3 Sedan launch parties aimed at hipsters that served craft beer and played indie music, but the marketing worked, apparently.
That said, if you're in the market for an A3, you might have not be able to get one immediately. According to Edmunds, some customers are on a waiting list for the compact luxury sedan. Although, Schilling said that's because Audi is still stocking dealers. "It's a little leaner than other models, but that's mainly because it's new and still ramping up," he said.

Audi revising own history in light of 'shocking' study of Nazi-era activities

Daimler opened up its archives for research into its Nazi affiliations for one book published in 1990 and another in 1998. The Quandt family behind BMW had its public catharsis in 2007. The ties between the National Socialists and the Porsche and Piech families have almost rendered the Volkswagen Beetle some kind of cult tchotchke of the Third Reich. And it's not just automakers called in for cleansing: Deutsche Bank credit helped build Auschwitz, Hugo Boss made Nazi uniforms, patriarch of food and frozen pizza giant Dr. Oetker volunteered for the Waffen-SS. As one historian said, for any business that wanted to stay in business during the war, "no company was really clean. Everyone had to resort to slave labor when their own workers were fighting at the front."
Audi is the latest to go public with findings from an in-depth study of the Nazi-affiliated past of Auto Union, its predecessor company, and the "Father of Auto Union" Dr. Richard Bruhn, the man who headed it pre- and post-war. Commissioned by Audi, written by Audi's history department head Martin Kukowski and University of Chemnitz historian Rudolf Boch, its findings are just as severe as those already heard so often over the past 20 years. Among other discoveries, the study found that not only did Brun manage the use of more than 3,700 forced labor camp workers from seven SS-run camps, 16,500 forced laborers that didn't live in camps worked in two more factories; Bruhn wanted even more laborers but couldn't get them because of the battlefield situation; and that Auto Union had "moral responsibility" for roughly 4,500 workers killed at the Flossenbürg concentration camp. The study found that disabled workers were routinely sent to the camp and executed there.
Audi works council head Peter Mosch said, "I'm very shocked by the scale of the involvement of the former Auto Union leadership in the system of forced and slave labor. I was not aware of the extent." The company is figuring out how it will respond to the findings, so far working on changing the online profile of Dr. Bruhn on its history pages on Audi sites around the world, and considering stripping Brun's name from the street that bears it and from company offerings like pension plans. If you can read German or can work Google Translate, Wirtschaftswoche has a long piece on the study and its conclusions.

2015 Audi S3 Sedan

For the last few years, Audi has been publicly toying with building a successor to its Ur-Quattro, a model still glowing in a gritty patina of motorsports glory decades after it left the scene. If anything, the rally car's halo has burned brighter as Audi has matured into a world luxury superpower. Since 2010, the German automaker has shown two different concept cars that attempted to re-bottle the legend's lightning, and it's still trying to figure out whether to market a production model. Despite that conundrum (and not to take anything away from the seminal Ur-Quattro), it's easy to argue that there are two other cars much more important to Audi's rise from its '80s ashes: the original TT and the B5-generation A4 and its high-performance variants.
The TT thrust Audi into the vanguard of automotive styling while firmly establishing the Volkswagen Group as masters of platform development (the same basic architecture and powertrain guts were employed in a dizzying array of models, from the Golf, Jetta and New Beetle to a number of Škoda products). This unprecedented, flexible building-block approach to new model development has since become the standard of the industry.
In the case of its B5 cars, the A4, S4 and RS4 put Audi back on the radar of rival German automakers, and more importantly, they grew the Four Rings' sales by leaps and bounds while reminding the world that all-wheel drive needn't only benefit hardcore performance cars and utility vehicles. Fast-forward to today, and the A4 has established itself as the bedrock of Audi's lineup, but it's also grown over its four generations to become substantially larger, heavier and costlier than the model that debuted back in 1996 America. That's created a vacuum at the bottom of the range that the company has inadequately addressed - until now.