2020 Volkswagen Tiguan 2.0t Sel Premium R-line on 2040-cars

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Volkswagen building budget car family planned for China in 2018

Volkswagen has publicly pondered a low-cost car for China, something akin to Nissan's Datsun revival in Southeast Asia, for at least three years. In 2013 it tapped Chinese partner FAW to help develop an entire budget brand, with plans to have something on the market in 2016 in the 6,000- to 8,000-euro range. About a year ago, VW said it couldn't figure out how to engineer an inexpensive car that didn't run counter to the brand's values, then three weeks later said it had overcome the issues. Reuters now reports that VW CEO Martin Winterkorn told German newspaper Bild am Sonntag, "We will bring a budget-car family to market in 2018, with an SUV, saloon and hatchback." Winterkorn didn't offer any other details like who VW would work with to build it - VW has partnerships with both FAW and SAIC, but the announcement will be welcomed by the brand's Chinese outpost. When this adventure started, VW said it was working to create a model that would cost 6,000 to 8,000 euro. That estimate has increased. Winterkorn is now saying the 2018 offerings will come in between 8,000 and 11,000 euro. In a straight euro-to-yuan conversion, that would equate to Chinese pricing of 56,000 to 77,000 yuan. For comparison, the New Polo with a 1.4-liter engine and a manual transmission starts at 85,900 yuan. Perhaps with an eye on the success of the Nissan-Renault sub-brand Dacia in Europe and emerging markets, Winterkorn told Bild, "We will see if this is something of interest for other markets as well." On the opposite end of the price/performance spectrum, Winterkorn also said that VW is working on two new models for Bugatti, one powered by a traditional gasoline engine and another with some sort of hybrid setup. The latter model would reportedly be the higher-performing of the two, though it's not clear whether there would be two vehicle lines or two versions of the same vehicle. As ever, as soon as we know more, so will you.

VW diesel incentives could be fuel for prosecutors

In the 2000s, Volkswagen was among the companies that lobbied the government to get buyers of diesel vehicles a tax credit. The automaker even brought some of these models to Washington to show them to politicians. The incentive eventually passed, and about 39,500 customers of the 2009 Jetta TDI and Jetta SportWagen TDI got a $1,300 benefit – for a total cost of around $51 million. Now, according to Reuters, that politicking might come back to bite the automaker when prosecutors finally get cases to trial. The US Department of Justice, the Environmental Protection Agency, and attorneys general in at least 29 states are already investigating VW, and politicians are pushing for criminal and civil actions against the company. According to Reuters, there could be several legal routes available, too. One option is to bring tax fraud charges, and that would require proving the automaker knew it was making untrue claims about the diesel models. There's also the option of bringing a case under the False Claims Act, which prohibits fraud against the government. According to Reuters, a maximum penalty under the law would be three times the tax credit and another $5,000 for each vehicle that received it. The company is also facing a class-action lawsuit from disgruntled owners. To aid its defense against all of these claims, VW has hired the same firm that worked with BP during the Deepwater Horizon oil spill. Outside of the US, prosecutors in Germany have just started to build a case against former CEO Martin Winterkorn for alleged fraud. In addition to these potential legal penalties, VW could be fined around $18 billion by the EPA for the emissions infractions. The agency's investigation is getting the added backing of its Canadian counterpart. Although, the actual settlement is expected to be far less.

VW joins Daimler's protest of new A/C refrigerant as EU deadline for compliance passes

The case of Dupont and Honeywell's refrigerant R-1234yf is doing the exact opposite of keeping things cool. The two chemical companies have spent years and hundreds of millions of dollars developing R-1234yf to replace R-134a, the new refrigerant shown to be 99.7-percent kinder to the environment than the one it is meant to succeed. Part of that development has been years of testing by governments, outside safety agencies and automakers to approve the chemical for use in cars. It passed the protocols necessary for the European Union to declare that new and significantly revised cars from 2013 onward needed to use R-1234yf, and mandated that every car as of 2017 must use it.
Enter Daimler AG. The automaker created a head-on collision test with a B-Class at their Sindelfingen test track that would lead to the pressurized refrigerant being sprayed on the engine. The result in 20 out of 20 test was that the refrigerant burst into flames as soon as it hit the hot engine, while Daimler says that R-134a does not catch fire in the same test. Another unexpected result of the R-1234yf test was the release of hydrogen flouride, a chemical far more deadly to humans than hydrogen cyanide, emitted in such amounts that it that turned the windshield white as it began to eat into the glass.
Said a Daimler engineer in a Reuters piece, "It was scarcely believable. The most complicated lab tests conducted using the most sensitive measuring instruments around found nothing and all we do is drive a car around a couple of times, open a tiny hole in the refrigerant line and the next thing you know the car is on fire." So Daimler said it wouldn't use the refrigerant, and it recalled the cars it had already shipped with R-1234yf.