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Volkswagen Group names Paefgen head of classics program

You may remember the name Franz-Josef Paefgen. Until recently, the German engineer and executive was head of both Bentley and Bugatti. Before that he was chief executive of Audi, after working for several years at Ford. He technically "retired" earlier this year, but like the cars he helped create, an executive like Paefgen could never really retire. So it should come as little surprise that the Volkswagen Group has named Dr. Paefgen head of its Classic program.
In his new capacity, Paefgen will oversee the historic automobile activities of the entire VW Group, including those of Volkswagen, Seat, Skoda, Audi, Lamborghini, and of course Bentley and Bugatti. It strikes us as a suitable semi-retirement for the man responsible in no small part for the Bugatti Veyron and Bentley Mulsanne, to name just two, and who was decorated in 2006 by the ACO as the "Spirit of Le Mans" for his contribution to endurance racing. Read the official announcement after the break.

Which will Dieselgate hurt more, Volkswagen or US diesels?

The most damning response to the news Volkswagen skirted emissions regulations for its diesel models may have actually come from the Los Angeles Times. On Saturday, the Times published an editorial titled "Did Volkswagen cheat?" The answer was undoubtedly yes. When you can't drive down Santa Monica Boulevard without seeing an average of one VW TDI per block, the following words are pretty striking: "... Americans should be outraged at the company's cynical and deliberate efforts to violate one of this country's most important environmental laws." VW has successfully cultivated a strong, environmentally conscious reputation for its TDI Clean Diesel technology, especially in states where emissions are strictly controlled. A statement like that is like blood all over the opinion section of the Sunday paper. The effect on VW's business, even Germany's financial health, was already felt Monday when the company's shares plummeted 23 percent in morning trading. The statement on Sunday from VW CEO Dr. Martin Winterkorn says "trust" three times. That probably wasn't enough in nine sentences. Writers over the weekend have compared VW's crisis to one at General Motors 30 years ago, when it was the largest seller of diesel-powered passenger cars until warranty claims over an inadequate design and ill-informed technicians effectively pulled the plug on the technology at GM. In a sense, VW is in the same boat as GM because it has fired a huge blow into its own reputation and that of diesels in passenger cars. And just as automakers like Jaguar Land Rover, BMW and, ironically, GM, were getting comfortable with it again in the US. VW of America was already knee-deep in its other problems this year. Its core Jetta and Passat models are aging and it needs to wait more than a year for competitive SUVs that American buyers want. The TDIs were the only continuous bright spot in the line and on the sales charts. Even as fuel prices fell and buyers shunned hybrids, VW managed to succeed with diesels and show that Americans actually care about and accept the technology again. Fervent TDI supporters might actually lobby for that maximum $18 billion fine to VW. I've personally convinced a number of people to look at a TDI instead of a hybrid. Perhaps not so much for stop-and-go traffic, but I know buyers who liked the idea that a TDI drove like a normal car and wasn't packed with batteries.

Volkswagen Tiguan tunes up for Frankfurt show

Volkswagen is in the phase of testing where it's simply beating the crap out of the next-generation Tiguan. The German manufacturer is conducting high-altitude towing tests in the Alps of mules wearing the production-ready body of its second-gen compact CUV. This is the first time we've seen the Tiguan in its production body, and despite the ample camouflage, the resemblance to not only the Passat sedan, but the Cross Coupe GTE and CrossBlue concepts, is clear. That's particularly true based on what we can see of the new Tiguan's grille and headlight treatment. In back, the Tiguan will adopt a more sporting roofline, particularly in the aggressive rake of the D-pillar. It's significantly different than the current car, and frankly, that's no bad thing. Expect the usual array of gas and diesel four cylinders with both front- and all-wheel drive on offer. On the high end, meanwhile, our spies claim a 300-horsepower R model could eventually be added to the range. Aside from its new look, future variants could see the crossover spawn both a long-wheelbase version and a coupe-like model. That said, we're wondering how a long-wheelbase Tiguan would fit into the VW range alongside the long-rumored, American-built, three-rower. According to our spies, though, neither one of those vehicles would arrive until well after the vehicle shown above debuts. As for when we can expect to see the second-gen Tiguan, our spies point to September's Frankfurt Motor Show. Be sure to check back then.