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VW may move production because of Russia's cutoff of natural gas

Volkswagen AG is exploring ways to counter a shortage in natural gas, including shifting production around its network of global facilities, signaling how the energy crisis unleashed by Russia’s invasion of Ukraine threatens to upend EuropeÂ’s industrial landscape. Volkswagen, EuropeÂ’s biggest carmaker, said Thursday that reallocating some of its production was one of the options available in the medium term if gas shortages last much beyond this winter. The company has major factories in Germany, the Czech Republic and Slovakia, which are among European countries most reliant on Russian gas, as well as facilities in southern Europe that source energy from elsewhere. “As mid-term alternatives, we are focusing on greater localization, relocation of manufacturing capacity, or technical alternatives, similar to what is already common practice in the context of challenges related to semiconductor shortages and other recent supply chain disruptions,” Geng Wu, VolkswagenÂ’s head of purchasing, said in a statement.  RussiaÂ’s decision to throttle gas supplies to Europe has raised concerns that Germany might be forced to ration its fuel. Recent news that gas storage levels hit 90% ahead of schedule has soothed fears of acute shortages this winter, but Germany faces a challenge in replenishing depleted reserves next summer without contributions from Russia. Southwestern Europe or coastal zones of northern Europe, both of which have better access to seaborne liquefied natural gas cargoes, could be the beneficiaries of any production shift, a Volkswagen spokesman said by phone. The Volkswagen group already operates car factories in Portugal, Spain and Belgium, countries that host LNG terminals. Labor hurdles To be sure, any major production shift away from EuropeÂ’s biggest economy would face significant hurdles. VW has some 295,000 employees in Germany and worker representatives account for around half the companyÂ’s 20-member supervisory board. Any shift in production would likely involve a limited number of vehicles rather than wholesale factory shutdowns. While gas supplies for VWÂ’s plants are currently secured, the company has identified potential savings at its European sites to cut gas consumption by a “mid-double-digit percentage,” said Michael Heinemann, managing director of VWÂ’s power-plant unit. Still, the carmaker said it was concerned about the effect high gas prices could have on its suppliers.

Crash test videos show how rust compromises safety

These recently released Swedish videos serve as a reminder that rust isn't just a cosmetic flaw, when it comes to cars. The insurance company Folksam and the homeowner organization Villaagarnas Riksforbund gathered examples of two relatively popular, but by now rusty cars, and then performed crash tests with them at the Thatcham Research facility in Britain. The results are sobering. The rustier cars chosen for the tests were first-generation Mazda6s, cars that have a reputation for early-onset rust in salty surroundings, such as the Nordic countries in Europe or the Salt Belt in the U.S. The cars in the other end of the spectrum were fifth-generation Volkswagen Golfs, which thanks to their body treatment only really start to show rust at over ten years old. But rust isn't just on the surface, it goes bone deep. While the Mazda did decently well in Euro NCAP testing as a new car, there's now a 20 percent higher risk of death in the 2003-2008 Mazda due to the degradation of its bodyshell. In the rusty car, the chassis rail separates from the floor, the footwell ruptures, the sill gives way, the seat mountings move and the dummy's head hits the B-pillar; all important failures, despite Thatcham saying the cars actually performed better in the crashes than they expected with all the rust. But still, the corroded structure isn't able to transmit loads in the way it was originally designed to do. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. The Golf does significantly better — despite rust flakes flying when the Golf hits the wall — as the years have only caused it to lose a single point. An important thing to remember is that the cars aren't tested in comparison to corresponding new, 2018 cars: the tests are in reference to the crashworthiness standards in place when they were new. The cars' airbags inflate like they were supposed to, but on the Mazda the dummy's head bottoms out the airbag due to the car's structure failing, meaning the airbag cannot perform as designed. Driven cautiously, an older car is still mostly fine for driving around. But tests like these remind us that it's not enough that a car runs and drives, if the body has turned into Swedish knackebrod. And if you repair the visible rust and the structure underneath remains as compromised as ever, there's an ugly truth under all the bondo. Perhaps it isn't such a bad idea to have yearly roadworthiness inspections.

VW reaches out to diesel consumers with new website

Volkswagen is starting to get details out to the public about its diesel emissions evasions in the US, and the automaker now has a dedicated website for consumers. The first thing that visitors see is an apology video from Volkswagen Group of America CEO Michael Horn. The site also details all of the VW TDI's currently known to be affected here, including the 2009-2015 Jetta, 2009-2014 Jetta SportWagen, 2010-2015 Golf, 2015 Golf SportWagen, 2012-2015 Beetle and Beetle convertible, and 2012-2015 Passat. Although, the Audi A3 should be on there, too. The company repeatedly reassures owners that these vehicles are safe to drive and promises it's developing a fix as quickly as possible to make them emissions compliant. On the site's FAQ, VW also clarifies that there's still a stop-sale on all of these models with the 2.0-liter TDI, including certified pre-owned ones. That could change soon because the automaker believes that the 2016 model year examples are legal, but the Environmental Protection Agency needs to sign off before they could go to dealers. Until the diesels can be sold, there also won't be any TDI advertising by VW. "We are working at full speed on a technical solution that we will present to partners, to our customers and to the public as swiftly as possible," Herbert Diess, CEO of Volkswagen passenger car division, says in a statement. He also offers an improved accounting of the number of vehicles affected. VW had previously said that there were 11 million with the emissions evading software worldwide. According to Diess, around five million of these came from the VW brand. Audi has said there about 2.1 million of its models affected globally with between 13,000 and 14,000 in America. DR. HERBERT DIESS, CEO OF THE VOLKSWAGEN PASSENGER CARS BRAND, EXPLAINS: "WE ARE WORKING AT FULL SPEED ON A SOLUTION." Wolfsburg, September 25, 2015 – In the press release dated September 22, 2015, the Volkswagen Group announced that Volkswagen Group vehicles worldwide are affected by the current issues regarding emissions. The internal evaluation revealed that approximately five million Volkswagen Passenger Cars brand vehicles are affected worldwide. Certain models and model years of these vehicles (such as the sixth generation Volkswagen Golf, the seventh generation Volkswagen Passat and the first generation Volkswagen Tiguan) are equipped exclusively with type EA 189 diesel engines.