When Toyota became the world’s largest auto manufacturer in 2008, they reluctantly accepted the title. Toyota knew that the title was not won by Toyota’s  strength, but by GM’s weakness. Toyota also was highly aware that the guy in front is everybody’s  target. Their worst fears became reality sooner than they thought.  Now, in an unusual departure from the usual Wolfsburg hubris, Volkswagen also realizes that too much success can make punch-drunk and lead to stupid or deadly mistakes. (Read More…)

Ferdi Piech is trying his hand at instigating a velvet revolution. He is dangling huge sales increases at Alfa in front of workers and customers, hoping that they string up Marchionne and ask Volkswagen to take over Alfa. Or something along these lines. Anyway, Piech said in Geneva that Volkswagen could nearly quadruple the annual sales of Alfa Romeo, if Fiat would only do the right thing and sell Volkswagen the ailing Alfa brand. (Read More…)

Don’t get confused by news that Volkswagen formally took over the Porsche Holding. They did, but Porsche Holding Salzburg is just one of the complicated web of Porsche companies. And  quite an interesting one. (Read More…)

In January, car imports to Japan shot up 53 percent, reports Automotive News’ [sub]Asia Editor Hans Greimel from Tokyo. Quick, who do you think takes top honors? (Read More…)

Back in the late 50s, Wilhelm Karmann had the inside track in Wolfsburg. His Osnabrück company built the Beetle convertible and the Karmann Ghia (a.k.a. “Typ 14”) for Volkswagen. Rubbing shoulders with Volkswagen engineers and designers, Karmann knew early what others didn’t know: He knew the plans for the notchback VW 1500 “Typ 3”. Karmann shared the secret with the Ghia designers in Turin. Luigi Segre, head of the studio, could not control his excitement. (Read More…)

Yesterday, Porsche went through more mood swings in a single day than a manic depressive in three months. In the morning, Munich’s Süddeutsche Zeitung, usually well clued into high level auto gossip in Germany, had the good news that the public prosecutor in Stuttgart had dropped most of the investigation into former Porsche CEO Wendelin Wiedeking and former CFO Holger Härter. Supposedly, no evidence of share price manipulation was found. With that out of the way, the formal amalgamation of Porsche into Volkswagen could now progress at full speed, said the paper. However, they were misinformed. (Read More…)

The launch of the new Golf Cabriolet reminded me of a piece of Volkswagen lore: The convertible that never was. A few calls to the Volkswagen History Department (now called “Volkswagen Classic”) later, here is the story: (Read More…)

Ever since Volkswagen bought not quite 20 percent of Suzuki a little more than a year ago, industry observers said: “Now what?” To this day, the couple remains childless. Lately, there have been rumors that the impatient German side is pushing for offsprings, whereas the Japanese side stays chaste. Now finally, there might be results – if India’s Economic Times has the correct information. (Read More…)

It must be Russian week. Yesterday, it was Ford and Sollers (and Sollers minus Fiat/Chrysler). Today, it’s Volkswagen and GAZ going to the altar. The two plan a joint venture to produce 300,000 cars per year in Russia, The Moscow Times reports. (Read More…)

No interview with a leader of the automotive industry is complete without the requisite question about electric plans. Porsche CEO Matthias Müller engineered a trick answer: (Read More…)

Porsche’s Wolfsburg-raised Porsche CEO Matthias Müller knows how to fan the flames. He’s not afraid of playing China against the U.S.A. A month ago, he dropped a hint to German media that Porsche could start production in China, or if that doesn’t work out, somewhere in “North America”. Chinese press went monkeyexcrement over the possibility of a Made in China Porsche. When they were all hot and bothered, tease Müller told China’s First Financial Daily that “Porsche currently has no such plans.” How do they put it so succinctly in China? “Aiya!”

Don’t cry for Porsche, China, Müller is at it again. (Read More…)

Visitors of the Geneva International Motor Show will be able to lay their sweaty palms on the facelifted version of Volkswagen’s pocket-Touareg, the Tiguan. The Touareg’s smaller sibling has been a surprising success, with 572,000 units delivered worldwide so far.

Volkswagen prides itself of having “the only SUV in its class that can be ordered in two different versions: one for on-road use and one specially tuned for off-road driving.” (Read More…)

Volkswagen had unannounced visitors last week. German police raided eight offices in four German cities to secure evidence in a big corruption scandal, the Munich newspaper Sueddeutsche Zeitung reports. According to the paper, managers of  Deutsche Telekom had attempted to land a several hundred million Euro contract from Volkswagen by extending the sponsorship contract for the Wolfsburg soccer club VFL Wolfsburg. (Read More…)

Volkswagen as a whole only registered a seven percent rise in the U.S.A., underperforming the market in January. The Volkswagen brand did even worse (+4.2 percent ). Don’t measure Volkswagen worldwide with a U.S. yardstick. A global Metermaß must be applied to the world’s third largest automaker. By that measure, the Volkswagen passenger cars brand surprises with an unexpected jump in January. (Read More…)

No war of words, no strikes, no hard feelings: After only two rounds of negotiations, Volkswagen and the metalworkers union IG Metall had a deal late last night. There will be a 3.2 percent increase in base pay effective May 1, 2011, and each employee will also receive a one-time payment corresponding to one percent of his or her annual pay but no less than €500. (Read More…)