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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 will build E-Tron Quattro in Brussels in 2018

Audi will begin assembly of the production version of the E-Tron Quattro concept crossover in Brussels, Belgium, in 2018, and the company will also build the vehicle's batteries there. Introducing its first electric CUV will be an early step in the German automaker's goal for 20 to 25 percent of US deliveries to be EVs by 2025. The E-Tron Quattro concept previewed the electric crossover's angular styling at the 2015 Frankfurt Show, and Audi was clear that production would start in early 2018. The vehicle should have ample get-up from three electric motors – one in front and two at the back – for a total output of 429 horsepower but brief jolts up to 496 hp. Audi also claimed that the 95-kWh battery could offer over 311 miles of range on the European cycle. The company already signed a deal to use battery cells from LG Chem and Samsung SDI on the final model. Some rumors suggest Audi might call the production version the Q6. The company supports that possibility in its press release by saying: "The sporty SUV will fit between the Audi Q7 and the Audi Q5 in the product portfolio." However, Audi of America president Scott Keogh hinted to Autoblog before the LA Auto Show that it could carry a different name. Audi's development of the E-Tron Quattro is an example of Volkswagen Group's strategy to take EVs more seriously. For example, improved batteries will soon boost the e-Golf's range. Further in the future, Porsche will launch a production version of its Mission E electric sedan around 2020, and VW will reportedly make an electric Phaeton at some point next decade. Related Video: AUDI PRODUCTION NETWORK: READY FOR ELECTRIC MOBILITY Premium manufacturer to produce large series of electric cars in Brussels as of 2018 New models for Martorell (Spain) and Gyor (Hungary) Audi CEO Rupert Stadler: "We are increasing our efficiency and bundling key competencies" January 20, 2016 | Ingolstadt/Brussels/Gyor/Martorell -- Audi is preparing its international production network for the mobility of the future. Large-series production of the first purely electric-driven SUV from Audi will begin at the site in Brussels in 2018. The plant will also produce its own batteries. The company will transfer production of the Audi A1 from Belgium to Martorell in Spain. The Audi Q3, which is currently produced in Spain, will be built in Gyor (Hungary) in the future. The model rotation will benefit all the sites of Audi's global production network.

IIHS gives 90 models its Top Safety Pick award in one fell swoop

Although the Audi A7 and the Toyota Sienna are positioned on completely different ends of the automotive spectrum, they overlap in one important area: both earned a Top Safety Pick+ award from the Insurance Institute for Highway Safety (IIHS). They're among the 49 cars that received the distinction for 2021, while 41 additional models scored a Top Safety Pick (without the plus) award from the institute, bringing the number of winners to 90. Earning a coveted Top Safety Pick award from the IIHS is easier said than done. Recipients need to score a good rating in the institute's six crash tests, be available with a front crash prevention system that scores a superior or advanced rating in vehicle-to-vehicle and vehicle-to-pedestrian evaluations, and be offered with (but, crucially, not necessarily fitted standard with) headlights that are either good or acceptable. Vehicles that have good or acceptable headlights across the full range, regardless of trim level, are eligible for the Top Safety Pick+ award. The Hyundai Group (which includes Hyundai, Kia, and Genesis) earned more awards than any other carmaker, with 12 standard Top Safety Pick distinctions and five earning a Pick+. Volvo led the Pick+ chart with its entire lineup of nine vehicles. At the other end of the spectrum, Mitsubishi still hasn't earned a single award, and General Motors only nabbed one of each. Safety is spreading across market segments, according to the IIHS. It pointed out that, in 2020, there were no minivans or pickup trucks on the list of Top Safety Pick recipients. Fast forward to 2021, and the list includes the Honda Odyssey, the Toyota Sienna, and the Ram 1500 crew cab; the first two earned a Pick+. The full list of 2021 award winners is on the IIHS website. Note that, for some models, only units built after a certain date earned an award. This distinction reflects a change (usually in headlights) during the production run. Cars sold in the United States are safer than ever, but automakers still sell vehicles with a zero-star crash test rating in many global markets. Suzuki's 2020 S-Presso flunked a reasonably basic round of tests in 2020. Featured Gallery 2021 Hyundai Palisade View 12 Photos Audi Hyundai Volvo