1979 Volkswagen Deluxe Campmobile Van Camper on 2040-cars

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VW budget sub-brand stuck in limbo over VW standards, costs

Reports in October 2012 claimed Volkswagen had begun investigating the creation of its own budget brand. This came after having failed to purchase Malaysian car company Proton or produce a meaningful partnership with Suzuki, and after watching Renault-Nissan make piles of euro on Dacia and plot the return of Datsun. For VW, more important than the question of what to call it was how to build it profitably and in a way that didn't damage the VW brand. According to a report in Autocar, a satisfactory answer still hasn't been found. The hurdle is how to hit "'necessary' quality and safety levels" at the price points needed to make the venture worthwhile. At the time of the 2012 report, German outlet Der Spiegel said VW was trying to get prices down to 6,000 to 8,000 euro ($7,784 to $10,379 US), about two thousand to four thousand euro under the price of the VW Up and in line with the cost of a 6,790-euro Dacia Sandero in Germany. In March 2013, VW announced, "We want to bring a true budget car to the market in China in the foreseeable future," the most concrete move in that direction after years of planning to make a decision. Working with local Chinese maker FAW, it was predicted that the vehicle in question would appear around 2016, but as of November last year a final vote on it needed to wait until this year because "We are still working on the cost side" and profit possibilities for a car that "has to be durable, it has to be precise, it has to be safe." Even Fiat, another automaker long considering a budget brand beneath its Fiat line-up, wasn't sure how to squeeze any extra money from lower-cost products but was sure that it couldn't be done by manufacturing in Europe. If VW hasn't yet made the math work with a joint venture in China, it will be interesting to see how it might build a European go-it-alone business case.

Andretti Autosport partners with Volkswagen for Global Rallycross season

Michael Andretti and Volkswagen have both been involved in Global Rallycross for a couple of years, but not together. Andretti Motorsports Marketing organized the final round of the 2012 GRC series in Las Vegas, and there were rumors then that Andretti was going to get in. Around the same time there were news reports that Volkswagen was preparing a 600-hp Polo Mk5 to race in the SuperCar class; the photo above is racer Anton Marklund in his privateer Marklund Motorsports Polo at the 2013 X-Games round in Los Angeles.
Now it's official: Andretti Autosport will campaign the 2014 GRC season with VWs. That's all that's been said for now, Andretti being busy at the moment launching four entries for IndyCar, two for Indy Lights and two for Pro Mazda. We have a feeling we'll be seeing the MkVII Golf involved, but the cars and the driver lineup will be presented at the Chicago Auto Show on February 6.

The hottest modern sports cars rendered as rally racers

The modern-day World Rally Championship a monumental amount of fun to watch – I should know, as I recently was lucky enough to head to the UK to watch WRC Wales Rally GB – but even the most monstrous of the current WRC cars are based on fairly pedestrian European hatchbacks. Back in the heyday of rally, the Group B era in the 1980s, much hotter cars were the basis of even more incredible competition machines, for the most part. Take the exotic Ford RS200, or the Lancia Delta S4 with its twin-charged engine. And the hatchback-based Group B cars were bonkers, too. So what would some of our favorite modern cars look like if Group B had never ended? A British site named CarWow hired an artist to reimagine everything from the Rolls-Royce Wraith to the Porsche 911 as a retro-inspired rally car, and they were kind enough to let us share the results in the gallery above. The gallery features an Alfa Romeo Giulia in Martini livery, an Audi TT in classic Ur-Quattro colors, a Fiat 500 Abarth sporting massive flares and a hood blister full of auxiliary lights, a new Ford Mustang in RS200 livery, a Lancia Delta in Alitalia colors, a Porsche 911 in Rothmans livery, a Renault-Alpine in classic blue, a Rolls-Royce Wraith tribute to the Jules cologne Corniche Coupe, and a relatively modern-looking VW Touran. So far, the favorite around the office is the incredible Mercedes-Benz S-Class that is an homage to the wonderful 300 SEL 6.8 AMG "Red Pig" that essentially put AMG on the map. Check out the gallery above and see which one you like the best. Related Video: