2011 Volkswagen Jetta Base on 2040-cars

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Suzuki and VW finalize their divorce

The rocky divorce between Suzuki and Volkswagen is finally over after working its way through the International Court of Arbitration since 2011, according to the Japan Times. In the final settlement to end the companies' disputes, Suzuki agreed to pay VW an undisclosed amount for not living up to the agreement to use the German automaker's diesel engines. While they won't disclose the exact sum, Suzuki said in a statement that the money "will not have any significant impact" on its 2015 fiscal year results, which will end in March. The arbitration court took the biggest step to end this transcontinental partnership in August 2015 when the body ruled VW needed sell its 19.9-percent stake in Suzuki. However, the Japanese company wasn't entirely off the hook because VW was still allowed to sue for damages over the diesel engine issue. This latest decision finally clears up that dispute. Like most marriages, the union between VW and Suzuki began with stars in both parties' eyes. The Germans paid $2.8 billion to buy 19.9 percent of the Japanese company in December 2009. VW was supposed to get greater access to the auto market in India, and Suzuki hoped to capitalize on access to its partner's advanced technology. By 2011, rumors started percolating that things were contentious behind closed doors. VW allegedly tried to assert control over Suzuki's operations, and the Japanese company reportedly wasn't happy with its access to the German tech. Suzuki even bought diesel engines from Fiat, rather than VW. Later that year, company CEO Osamu Suzuki announced he would end the alliance, and they started working through arbitration. Notification Concerning Resolution of Arbitration by Settlement As Suzuki has reached a settlement regarding the arbitration that Suzuki filed with the International Court of Arbitration of the International Chamber of Commerce on 24 November 2011, Suzuki informs you of the following: 1. History from the Request for Arbitration to the Settlement As announced in the "Notification Concerning Arbitration Award" dated 30 August 2015, the Tribunal indicated that it would address the issue of alleged damages arising from Suzuki's breach of the agreement claimed by Volkswagen AG ("VW") in a further stage of the arbitration proceedings. Suzuki reached a settlement with VW in regard to such arbitration proceedings on 10 February 2016. Accordingly, the arbitration proceedings have been concluded. 2.

VW still set on Phaeton redux despite cost-cutting drive and losing $32k per car

While critically well regarded, the Volkswagen Phaeton has proven to be a vehicle largely unloved by luxury buyers around the world. Despite this, it refuses to die. While VW's luxury sedan hasn't been sold in the US since 2006 due to low sales here, it has soldiered on in Europe with occasional updates. As the model's long lifespan has been winding down, VW has decided to keep pushing the Phaeton into a new generation, despite in-house alternatives like the Audi A8 and Bentley Continental Flying Spur. The move might not make much business sense, but Volkswagen executives are determined to make the Phaeton work. According to market analysts speaking to Reuters, developing the next-gen luxury sedan on the MLB platform could cost as much as 650 million euros ($737 million), despite relying on the same underpinnings in the A8. It's not like the Phaeton is leading the luxury sedan sales ranks, either. Reuters notes VW produced just 5,812 of them in 2013 (the most current year with data), and from 2002 to 2012, the automaker reportedly lost 28,000 euros ($32,000) on each example sold. Conversely, Mercedes-Benz sold 103,737 units of its new S-Class in 2014, an astonishing 82.2 percent jump over the previous year. The decision to keep the Phaeton going doesn't seem to square with the VW brand's cost-cutting strategy. Boss Martin Winterkorn announced last year a plan to save 5 billion euros ($5.7 billion) annually in the coming years. That plan reportedly also includes killing off less profitable models. Apparently, VW can't just rip off the band-aid and get rid of the Phaeton. Even some VW bosses seem somewhat perplexed at the sedan's business case. When Reuters asked the company's US boss Michael Horn about selling the Phaeton here, he said. "That's a dangerous question. It's an image bearer with no relevance for volume." The next-gen Phaeton is scheduled to go on sale in Europe in 2017 or 2018, according to Reuters, which is about a year later than previous rumors. A US launch will reportedly follow in 2018 or 2019 with the plug-in hybrid and potentially even diesel versions on offer. A starting price around $70,000 is estimated. Featured Gallery 2011 Volkswagen Phaeton View 15 Photos News Source: ReutersImage Credit: Volkswagen Plants/Manufacturing Volkswagen Luxury Sedan vw phaeton cost cutting

Volkswagen bringing driver assistance systems to its 2016 lineup

Chevrolet isn't the only manufacturer rolling out luxury safety technologies on a 2016 mass-market lineup. Volkswagen has just announced that next year it will begin adding driver assistance systems to its lineup here in the States – stuff that was previously only available on Audi and Porsche models here, or Volkswagens in Europe. Adaptive cruise control, forward collision warning, and autonomous braking will be standard on the CC V6 4Motion, optional on certain trims of the Golf and Jetta. Blind spot monitoring will be standard on the Beetle, and top CC and Jetta trims, but optional on the Golf and lower Jetta variants. Automated parking will be available on Golf models, including the e-Golf. Blind spot assistance with rear traffic alert, lane departure warning, park distance control, and an automatic post-collision braking system also come in the technology kitty, all of which will be packaged at prices between $695 and $1,495. Infotainment options take a bit step up, too, with every VW model but the Touareg being fitted with touchscreens. The new MIB II head unit comes in four sizes, the Beetle, Jetta, and Tiguan getting the smallest, five-inch screen as standard but upgradeable to a 6.5-inch screen. Android Auto, Apple CarPlay, and MirrorLink are integrated into that larger screen. The interface is improved by a faster processor, higher resolution, and better graphics, and some will come with swiping and pinch-to-zoom functionality. The two press releases below lay it all out in detail. VOLKSWAGEN DEMOCRATIZES HIGH-END DRIVER ASSISTANCE FEATURES FOR THE 2016 MODEL YEAR Many models in the 2016 Volkswagen lineup offer new driver assistance systems that used to be the sole preserve of premium and luxury vehicles Herndon, VA Jul 29, 2015 — For the 2016 model year, Volkswagen is offering a host of driver assistance features that were only previously available on the premium Touareg SUV—and adding some new ones that truly democratize driver assistance for the compact sedan and compact hatchback classes. These available features include: Forward Collision Warning and Autonomous Emergency Braking (Front Assist); Adaptive Cruise Control (ACC); the Parking Steering Assistant (Park Assist); and an active Lane Departure Warning (Lane Assist) system. The Beetle, CC, e-Golf, Golf, Golf GTI, Golf R, Golf SportWagen, and Jetta offer these available features, depending on model and trim line.