The debut of Audi’s A4 is one of the most anticipated at the upcoming Frankfurt Motor Show. And it seems like everyday images of the A4 keep leaking out on the net firing up even more the excitement of car fans.

Basing on the photos of the A4 spreading on the net, it has most of the electronics and assistance features seen on larger BMWs and Mercedes models. Examples of features seen on the A4 include seat fans, adaptive shock absorbers, adaptive airbags/belts, radio operated key, adaptive cruise control, variable steering and other Audi features that are found on the A6 and A8 models such as the MMI and the 10-channel 505-Watt Bang & Olufson 14 speaker stereo system. For added aesthetic appeal are xenon plus headlight option with 14 white LEDs derived from the Audi R8.

The new A4 will also feature a driver assistance called the Audi Drive Select that offer two sport settings for the adaptive suspension. There are also other features added such as the four other pre-configured modes that include comfort, auto, dynamic or individual settings.

Drive Select also manipulates the accelerator pedal response, tiptronic shift points, power steering assistance, steering ratio, as well as the electronically adjustable shock absorbers.

The A4 will not be complete without its safety features such as Audi’s new Lane Assist which make use of a camera in the windshield that monitors the lane position above 65 km/h and warns the driver by making the steering wheel vibrates whenever an upcoming lane changes happens without the use of the turn signal.

Audi has also equipped the A4 with Side Assist with radar sensors located in the front and rear bumpers. The system warns the driver of vehicles approaching its blind spots or those fast approaching from behind. The LED gives off warning signal that can be seen on the side view mirror.

The greatest challenge that the Audi faced in the development of the A4 was in terms of the driving dynamics. The engine was position juts forward the front axle of the previous generation, balance was slightly affected which results to an understeer problem.  But compared to its other German rivals which are rear-wheel-drive, the Audi was at a disadvantage however with its all-new MLP Platform the front axle of the A4 is moved forward by 154mm resulting to an improved axle-weight distribution.

To further enhance weight distribution, the transmission was moved forward just behind the engine and transferred in front of the clutch or torque converter. The new A4 has also grown by 4.7 meters projecting a sportier proportions with the front overhang shortened while the bonnet and the wheelbase are made longer. These changes on the structure of the A4 has resulted to an increase in interior room by 20mm and 36mm extra rear passenger knee room. The boot was also more spacious and can hold 480 liters regardless of whether the car is equipped with Quattro or not.

More details on the A4 are to be revealed at the Frankfurt Motor Show.

 

Volkswagen in Australia has erased two entries from the list of its price-driven starter cars. It has eliminated the European Fox and a new concept car that was supposed to be revealed at the Frankfurt Motor show next month. The Wolfsburg-based automaker was really desperate to get a value champion to sit below the $16,990 Polo.

Volkswagen Group Australia also said that it has no plan of using a car from Skoda, its new Czech value line to run the role. According to Volkswagen Group Australia Managing Director Jutta Dierks, "What we need in this area is a normal car that is not expensive. Basic transport."

Dierks further explain that the Fox, which is priced right in Europe, will not work for Australia. She said as quoted by carsguide.com.au, "We are not after a small Fox. It does not have an automatic transmission and it’s too small. We would like a nice car that’s value for money, with five doors. That’s probably what we are missing from the whole Asia-Pacific region. I hope we are moving in that direction, but it’s not confirmed."

Dierks is also ruling out the Volkswagen concept called the City Expert despite the fact that it looks ideal.

Europe’s largest automaker says that “the heart . . . will beat where the flat-four `boxer’ engine once did in the Beetle.”

The automaker will be presenting a compact urban runabout with a rear engine, no other details were mentioned but Volkswagen has assured that all will be revealed at the Frankfurt show. The automaker also said that the car is represents its response to the motto for this year’s show with theme: “See what’s driving tomorrow”.

When ask about the City Expert in Australia, all Dierks could say, "It would be pure speculation. We have discussed it for years and it does not exist so far, not to my knowledge. Hopefully someone is working on this."

Skoda has been working on a deal to bring the new Fabia hatch to Australia next year but Dierks stresses that even the Fabia cannot fill the sub-Polo place. She said, "The car we are talking about is something really different. But basic transportation in this country does not mean two people."

 

A mid-size Volkswagen will be launched in 2008 and would come from Skoda’s Aurangabad unit. The Jetta sedan will make use of completely-knocked-down kits from Pueblo, Mexico but will be assembled in Aurangabad facility. The operation will continue until 2009 when Volkswagen moves its own Rs 2,450-crore, 110,000 units a year facility in Pune.

According to Andreaz Prinz, Managing Director, Volkswagen India in an interview with Business Standard, the mid-size car would be given a competitive price that would match those of Honda City which means that it would have a price ranging from Rs 7 lakh to Rs 9 lakh. The other vehicles that the Jetta sedan will be competing within such price bracket will include the Maruti Suzuki SX4 and the Ford Fiesta. The segment has record sales of 200,000 units last year.

Volkswagen is planning a rapid expansion in India since the automaker feels that it has not given it much priority because it has been focusing on China. At present, the Wolfsburg-based automaker has three dealerships in India and is now opening more across the country. The very first assembled Volkswagen Indian car is the Passat and will be launched on September 5 rolling off from the same Skoda facility.

Going back to the Jetta sedan, it is based on the A5 Golf platform which is also the same basis for the Skoda Laura. The new midsize Jetta sedan is going to be a Golf hatchback with a boot and with better quality interiors and trim.

The name Jetta is inspired by “jet stream” and has been in production for almost 27 years now. Luckily for our Indian friends they will also be getting Volkswagen’s fifth-generation car that is currently in production in Germany.  

Europe’s largest automaker has also proposes to provide both petrol and diesel engine variants with the Jetta. The company is also likely to offer a 1.6 liter engine for its petrol lineup by employing its patented FSI technology.

In terms of the diesel engines, the company may borrow the 1.9 liter TDI engine from Skoda, the very same one equipped on the Octavia model in India. And with the Euro III ready engine, Volkswagen will have the chance to price the car competitively to match with the likes of the Hyundai Verna CRDi.

The company may also opt for different trim models with top-end versions of petrol and diesel to feature anti-lock braking system and airbags offered as part of the standard equipments.

To increase the competitiveness of Volkswagen in India, industry sources also suggest for the automaker to make a new global sourcing plan wherein suppliers who achieve lower price targets are rewarded by making them part of new model strategies. And of course since production of the new Jetta sedan is in India it is but right to include Indian suppliers as part of Volkswagen’s global supply chain.

 

Volkswagen’s Czech-based subsidiary has added a new edition to its lineup and this time it’s larger than the model it has replaced. Its 7mm longer and 46mmm higher that its predecessor.  Its dimensions were also increased measuring 4,239mm long, 1,642mm wide, and 1,498mm tall. Such dimensions do not only provide the car with a commanding road stance but also provide a much roomy interior.

Boot capacity was also increased by an amazing 54 liters up to 480 liters. The rear seats can be folded flat to allow 1,460 liters of stowage space an increase of almost 235 liters from before. This figure is not only class-leading in its own segment but a benchmark for other similar model from the class.

Buyers may also choose from six engines consisting of three petrol and three diesels. The three petrol engines are consist of 1.2 12V HTP (70bhp), 1.4 16V (85bhp), and the 1.6 16V (105bhp) while the three diesel options include the 1.4 TDI PD (70bhp), 1.4 TDI PD (80bhp), and the 1.9 TDI PD (105bhp). All the engines are mated to a five-speed auto manual transmission except for the 1.6 16V version which is offered with a six-speed auto Tiptronic as an option. Trim designators just like the Fabia hatchback will simply be 1, 2, and 3.

Aside from the fresh Skoda family design, the new edition Fabia Estate would also offer a number of smart features that boost riding and driving comfort. The major features of the latest edition Fabia Estate includes boot capacity, spacious passenger space, an abundance of storage trays, hooks and cubby holes for keeping various stuffs safe and organize, a boot roller cover with an automatic quick release making loading and unloading quick and simple.

The latest edition Fabia Estate will be presented at the upcoming 2007 Frankfurt Motor Show.

Skoda has been able to sell around 630,000 first-generation Fabia Estate worldwide. The production of the Fabia Estate will continue only until the end of this year.

Volkswagen is once again place in the spotlight by various controversies. Let us start with the news from theautochannel.com that states that Volkswagen and its luxury brand Audi has finally decided to end its plans to market DPF-equipped low emissions diesel cars in North America under the Bluetec name which they share with DaimlerChrysler. According to the Editor of the theautochannel.com that has personally spoke with Volkswagen USA, the company said that it will just produce its own diesel engine in Mexico for its Jetta and Passat models.

Another controversy that Europe’s largest automaker is facing is with regards to one former German state lawmaker who was penalized for using Volkswagen’s company funds to hire prostitutes according to prosecutors recently.  

Last month Guenter Lenz, 47 has resigned as head of the employee council at Volkswagen’s commercial vehicles division. He has earlier given up his seat at the state parliament of Lower Saxony where he represents the centre-left Social Democrats.

Lenz was convicted on two counts as being an accessory to breach of trust and was required to pay a fine amounting to 11,250 euro, or about $16,290 (Canadian Dollar).

Lenz was accused of using prostitutes and paying them using company funds during his travels to Seoul and India for the years 2001 and 2002. The prosecutor said that Lenz has spent around 600 euros or $860 for the prostitutes. The expenses were charged to VW by Klaus-Joachim Gebauer who is a former personnel executive who was also charged with breach of trust.

The controversies does not end yet, Porsche the major and controlling shareholder of Volkswagen has finally succeeded in gaining the permission of VW’s shareholders representing less than 1 pct of voting rights to allow the German sports car maker to make a takeover bid for Europe’s largest automaker.

The company was able to gain 172,218 common shares and 68,262 preference shares. The total stake owned by Porsche in VW has increased to 30 pct-threshold last March giving it the right to make a mandatory takeover bid to all shareholders. I wonder what changes Porsche will impose on Volkswagen one it has taken full control of Europe’s largest automaker.

Volkswagen, just like Toyota is one of those lucky few automakers that seldom reports low sales.

As a matter of fact, Volkswagen of America has recently announced that its dealership’s profitability has climbed as high as 2.45 percent more than the 2006 industry average of 1.5 percent.

This year has been quite tough for Volkswagen’s US subsidiary but despite such hard times Volkswagen exclusive dealers were still able obtain an average 2.45 percent on sales return. The dealers across the Volkswagen network have also reached a 2.05 percent increase in profitability for the first half of this year. These figures are higher than what they have obtained last December 2006 where profit percentages only reached 1.44 for Volkswagen-exclusive dealers while 1.5 percent for all Volkswagen dealers on average.

According to Matthias Seidl, Chief Operating Officer, Volkswagen of America, Inc. "Dealer profitability is at the core of our dealer network strategy. It is important because it benefits the customer — profitable dealers are better able to hire and retain great sales and service personnel and ensure high customer satisfaction."

To continuously grow and maintain profitability, Europe’s largest automaker will have to maintain around 600 dealers that are working to increase Volkswagen-exclusive dealerships. The main focus will remain on performance in both sales as well as providing customers with satisfying services.

Seidl also added, "We have a way to go before we achieve a return on sales of 2.5 percent on average across all dealers, early indications are that our strategy is starting to pay off."

Volkswagen of America presently distributes various Volkswagen products including New Beetle, Rabbit, New Beetle Convertible, Jetta, GTI, GLI, Passat wagon, Passat, Eos, and Touareg through its 600 independent dealers across the US.

Aside from Volkswagen of America another subsidiary this time from Canada, has announced that its sales for July 2007 has reached a total of 3,442 as compared to the same period last year with only 3,347 units.

There is also increase in the year-to-date sales of 21.6 percent from 18,785 last July 2006 to 22,850 units in July of 2007. The City Jetta was able to obtain its best month ever with 608 units sold last July posting an increase of 28.7 percent. The Passat sedan was not also left out with 191 units sold in July or a 16.5 percent increase over the same period last year.

The New Beetle together with the GTI has been performing quite well with 1,160 and 1,064 units sold respectively. These figures represent an increase of 53.5 percent for the GTI as compared to the same period last year while 34.9 percent increase was recorded for the New Beetle.