2016 Volkswagen Jetta S on 2040-cars

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New Volkswagen Beetle is on the way

Recent reports have suggested that the future of the Volkswagen Beetle could be in jeopardy, but those rumors have now been squashed. Dr. Heinz-Jakob Neusser, member of the board of management responsible for development at Volkswagen, confirmed to Autoblog that not only will the Beetle live on, a new generation will arrive in "the next up to three years." The next Beetle will move to Volkswagen's scalable MQB architecture. These bones currently underpin the Golf in the US, as well as a range of products available in Europe and other markets. That's not really surprising, given the MQB architecture's flexibility. But what's interesting is that, according to Neusser, using the MQB platform opens the door for electrification possibilities in the Beetle. That could mean a hybrid drivetrain, or even a fully electric example like the e-Golf hatchback. The Beetle "will remain an emotional design," Neusser told Autoblog. That said, it will be "developed in a new design language," in keeping with Volkswagen's plans to offer "much more dynamic, much more emotional" designs on its future cars. "We would like to support more emotional potential [for the Beetle]," Neusser said. This can certainly be seen here at the New York Auto Show, where Volkswagen is rolling out four showcars that demonstrate the potential for unique versions of the Bug. Even beyond that, Volkswagen has already confirmed that the Beetle Dune concept will see production, and Neusser hinted that while the New York showcars are still being evaluated, the Denim convertible will likely come to market. So the future is anything but grim for the Beetle. And in fact, there's a whole lot of potential for Volkswagen's iconic two-door. Related Video:

French police search VW offices in emissions probe

French authorities have searched the headquarters of Volkswagen France as part of a local investigation into the emissions testing scandal at the German automaker. Investigators from France's environment and public health office conducted the searches Friday at Volkswagen France's offices in Villers-Cotterets, 52 miles north of Paris, and seized computer equipment, the Paris prosecutor's office said Sunday. A spokeswoman for Volkswagen France, Leslie Peltier, confirmed the searches and said Volkswagen is fully cooperating with the police. In Spain, prosecutors have called on the National Court to open a probe of Volkswagen for possible fraud and environmental offences in connection with the emissions scandal at the German automaker. The court's prosecutor's office sent the recommendation Monday to investigative magistrate Ismael Moreno, saying the alleged offences could have affected people across Spain. It said that given that the cars in question qualified for subsidies from the government, they also constitute possible fraud against the state. The prosecutors were acting on complaints filed by the Spanish anti-corruption group Manos Limpias (Clean Hands) and a victims' association. Volkswagen's Spanish subsidiary SEAT said it fitted 700,000 vehicles with the EA 189 diesel engines that had software enabling them to cheat on emissions tests. Volkswagen says 11 million cars worldwide have such software. The automaker has hired Christine Hohmann-Dennhardt away from Daimler to help the company, and perhaps the entire German automobile industry, recover from VW's diesel emissions scandal. Governments around the world are working on new emissions tests that may drive the price of diesel vehicles higher than buyers are willing to pay. Related Video: The AP contributed to this report.

VW makes $9.2B offer for rest of truckmaker Scania

Volkswagen owns or has controlling interests in three commercial truck operations: besides its own, VW began buying shares in Sweden's Scania in 2000 and now controls 89.2 percent of its shares and 62.6 percent of its capital, then bought into Germany's Man in 2006 - in order to prevent Man from trying to take over Scania - and now owns 75 percent of it. The car company has managed to work out 200 million euros in savings, but believes it can unlock a total of 650 million euros in savings if it takes outright control of Scania and can spread more common parts among the three divisions.
It has proposed a 6.7-billion-euro ($9.2 billion) buyout, but according to a Bloomberg report, Scania's minority investors don't appear inclined to the deal. Although effectively controlled by VW, Scania is an independently-listed Swedish company, and a profitable one at that: in the January-September 2013 period its operating profit was 9.4 percent compared to Man's 0.4 percent. Some of the other shareholders believe that Scania is better off on its own and will not approve the deal, some have asked an auditor to look into the potential conflict of interest between VW and Man, while some are willing to examine the deal and "make an evaluation based on what a long-term owner finds is good," which might not be just "the stock market price plus a few percent." The buyout will only be official assuming VW can reach the 90-percent share threshold that Swedish law mandates for a squeeze-out.
Many of the arguments against boil down to investors believing that Scania's Swedishness and unique offerings are what keep it profitable, and ownership by the German car company will kill that. (Have we heard that somewhere before?) If Volkswagen can buy that additional 0.8-percent share in Scania, perhaps its buyout wrangling with Man will give it an idea of what it's in for: "dozens" of minority investors in the German truckmaker have filed cases against VW, seeking higher prices for their shares. It is likely only to delay the inevitable, though. If VW is really going to compete with Daimler and Volvo in the truck market, it has to get the size, clout and savings to do so.