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VW to unveil diesel-electric Twin-Up! in Tokyo

We've received multiple reports that Volkswagen will be bringing a diesel-electric concept to the 2013 Tokyo Motor Show, set to take place later this month. The car, called the Twin-Up!, is based on the Up! city car, with some sources claiming this is a thinly veiled concept that will eventually enter production.
According to Automotive News Europe, the Twin-Up! will reportedly return 214 miles per gallon on the US cycle by combining an 800-cc, two-cylinder diesel and an electric motor. It will also boast plug-in capabilities, and will be able to cover 30 miles on electric power alone.
Autocar has a more complete picture of the Twin-Up!'s powertrain, though, claiming it's a modified version of the hybrid system found in the Volkswagen XL1. The Twin-Up! will get a more potent, 47-horsepower electric motor to the XL1's 27-hp unit, but will retain that car's 47-hp turbodiesel. The battery pack will also grow, from 5.5 kilowatt hours to 8.6 kWh. Both of these increases are necessary due to the increased weight of the Twin-Up! - it's some 900 pounds heavier than an XL1.

Volkswagen scores dominant 1-2-3 finish at Monte Carlo Rally

Racing calendars change from year to year, but most series have that one race they just couldn't do without: the Monaco Grand Prix for F1, Le Mans for endurance racing, Dakar for rally raid, the Indianapolis 500 for Indy, the Daytona 500 for NASCAR... and for the World Rally Championship, it's the Monte Carlo Rally. Winning the Monte brings with it its own measure of bragging rights, but locking out the podium is another story altogether. And that's just what Volkswagen did this weekend on the Cote d'Azur. The hard-fought season-opener saw nine-time world champion (and seven-time Monte Carlo Rally winner) Sebastien Loeb return with Citroen, but ultimately it was the VW team that won – and won big, taking a commanding 1-2-3 finish. Sebastien Ogier (with Julien Ingrassia) finished first, followed by Jari-Matti Latvala (with Miika Anttila) in second and Andreas Mikkelsen (with Ola Floene) in third, all of them in the Volkswagen Polo R WRC that was just updated in time for the start of the season. The rally passed right through the Forest Saint Julien where Ogier was born, and at the end of it all, Mikkelsen walked little more than 50 steps from the Volkswagen garage to his condo at Quai Antoine 1er in Monte Carlo. It was only the second time VW has locked out the podium since hitting the scene two years ago, following the German team's 1-2-3 finish in Australia last season en route to its second consecutive world championship. This also marked the second year in a row that Ogier and VW have won the Monte, after narrowly losing out to Loeb in '03. The achievement in Monaco this weekend made VW only the fifth manufacturer to take the top three spots in the Monegasque capital: Renault-Alpine became the first in 1973, followed by Lancia (with the Stratos) in '76 and then again (with the Delta Integrale) in '89, Audi sandwiched between in '84 and Citroen with the "dream team" of Loeb, Colin McRae and Carlos Sainz in 2003. (Peugeot achieved the same in 2009, but that was when the Monte Carlo Rally had left the WRC and was run as part of the less prominent and lower-spec Intercontinental Rally Challenge.) Not even Subaru, Mitsubishi, Toyota or Ford - all dominant forces in their time - can claim that feat. The victory secures the Polo R WRC's place as the most dominant car in the championship, winning over 85 percent of the rallies in which it has been entered since its debut in 2003. FIA World Rally Championship (WRC), Rally Monte Carlo One-two-three!

BMW says its diesels are above board

BMW got yanked into the riptide of the Volkswagen diesel scandal thanks to a report in Auto Bild, which Auto Bild has now clarified. On Thursday the German magazine said that when the International Council on Clean Transportation tested the X3 xDrive 2.0d, the ICCT discovered the diesel X3's tailpipe emissions exceeded the European limit by more than 1,100 percent. The key detail, though, is that apparently at no time did the ICCT find that BMW cheated on any emissions tests. No one has explained why the X3 diesel had such high emissions and the ICCT wouldn't comment on the Auto Bild report. But the mag has issued a clarification asserting that in spite of the excessive emissions, there is no evidence BMW engaged in regulatory subterfuge. Every other BMW vehicle ICCT tested was within compliance, but the organization's report from October 2014 - that no one paid attention to - found that nitrogen oxide emissions in 15 vehicles it tested averaged seven times the European limit. The brand's stock is still suffering from the taint. It dropped almost ten percent the day the report came out before rallying to close at five percent down. But on Monday BMW stock closed at 84.01 euros, and as of writing on Friday it's still trying to fight its way back above 80 euros. With so many people still just trying to find out how widespread the the issue is, and trust rather low, it's likely BMW won't be the one dragged down, fairly or not. Related Video: