#VW

It appears that a presumed rough patch in Ford and Volkswagen’s relationship is over, now that The Wall Street Journal is reporting on VW preparing a nearly $2-billion investment into the Blue Oval’s autonomous development unit, Argo AI.

Earlier this month, claims arose that negotiations had reached an uncomfortable crossroad, with Volkswagen balking at Ford’s proposed admittance fee. Under the new deal, VW would set aside $600 million as an equity investment into Argo — acquiring half of the business in the process — followed by subsequent investments totaling $1.1 billion for the subsidiary’s research and development efforts.

There’s a reason for the use of upper-case letters — the Volkswagen Jetta is still a car model sold in China, and a quite popular one at that, while JETTA is a new brand aimed at entry-level consumers in that mega market.

VW is an incredibly big deal in the world’s most car-hungry country, eating up a considerable share of China’s mainstream vehicle segments. The brand sold 3.11 million vehicles in China last year. However, its presence at the bottom end of the market isn’t quite as strong, and there remains many millions of Chinese who haven’t adopted the new way of life and picked up a car. That’s what JETTA’s for.

With the 50th anniversary of Woodstock nearly upon us, it was only a matter of time before Volkswagen released a commemorative vehicle acknowledging the Microbus. The Type 2, a staple of the hippie movement, was frequently found painted in psychedelic patterns and hues. Case in point is the “Light Bus,” which appeared in numerous photos of the 1969 Woodstock Art and Music Fair — including the official Woodstock album — and became emblematic of the moment.

Driven by (and named after) the Baltimore-based band that drove it, the vehicle eventually vanished into obscurity.

Three years ago, artist Dr. Bob Hieronimus and Canadian documentarian John Wesley Chisholm sought to acquire the van, hoping to restore it to its former glory. Unfortunately, a six-month search turned up no trace of the van, so the two made do with an unmolested 1963 VW Standard Microbus sourced via a crowd-funding campaign. It may not be the Type 2 that attended the historic music festival, but the attention to detail here barely makes that an issue.

Hoping to minimize development costs, Volkswagen Group and Ford Motor Co. recently forged an automotive alliance. Collaborative projects officially include commercial vans and pickup trucks, though the duo are also said to be working together on electric and autonomous vehicle development. Unfortunately, trouble in pinning down the details has slightly soured the relationship.

Through the alliance, Ford could make use of VW’s MEB platform, aiding its plan to roll out a myriad of electric cars in the coming years, while Volkswagen would have access to the Blue Oval’s autonomous unit, Argo AI. But the Germans reportedly aren’t interested in paying what Ford’s asking.

Big, hulking trucks may have stolen the spotlight in the lead-up to the Chicago Auto Show, but Volkswagen still holds an interest in plain ol’ cars. In the interest of preserving your interest in said cars, VW took its new-for-2019 Jetta sedan into the shop and hauled out the surgical instruments.

The first component removed was the standard, thrifty 1.4-liter four-cylinder. Then, VW engineers went to town on the rear suspension, scrapping the low-cost torsion-beam setup. What emerged from the operating room was the 2019 Jetta GLI — a GTI for people who like trunks.

Following its diesel emissions scandal, Volkswagen leaned hard into electrification. The automaker needed to look environmentally conscious after being caught cheating on emissions tests, and promising a glut of electric vehicles seemed like a good way to accomplish that goal. Of course, building EVs also allows companies to offset fleet-wide emissions — protecting the existence of highly profitable crossovers using the internal combustion engines that most people still prefer.

However, Volkswagen isn’t talking about chucking in a few zero-emission vehicles under its I.D. sub-brand. Back in 2017, the automaker promised $84 billion for EV development after announcing an initial investment of $10 billion. VW Group subsidiaries like Audi and Porsche are busy readying electrics of their own. While incredibly ambitious, the swift change in direction means Volkswagen is effectively gambling with its future.

Volkswagen has agreed to spend $2 billion improving the United States’ adolescent charging infrastructure over the next 10 years as part its diesel-related agreement with federal regulators. As part of that arrangement, the automaker established Electrify America as the subsidiary responsible for most of the leg work.

While it invests heavily in the nation’s EV charging network and drops a few million here and there to raise ecological awareness and encourage the adoption of zero-emission vehicles, it also has to be careful to remain brand neutral.

None of Electrify America’s programs can be seen as catering to VW, resulted in some interesting bedfellows. Case in point, Electrify America just announced plans to install Tesla Inc battery storage packs at more than 100 charging stations across the U.S.

After Volkswagen strategy boss Michael Jost told a German newspaper Wednesday of his company’s plan to offer up its MEB electric vehicle platform to anyone who wants it, VW further disseminated the message on Thursday — making the pitch that the automaker now offers “e-joint ventures.”

Cute, but also potentially lucrative for automakers not interested in developing their own EV architecture. Or not able. Meanwhile, as a hint at what the MEB platform is capable of, Volkswagen issued a teaser for a culture-soaked model with a modern twist: an electric dune buggy, also riding atop an MEB.

Volkswagen could be on the verge of going Oprah, tossing electric MEB platforms to adoring fans like a pile of Pontiac G6s.

After forging an alliance with Ford — a partnership that might result in MEB-based Blue Oval vehicles — the automaker is reportedly looking at making its EV architecture available to anyone who wants it.

Despite the 2020 Volkswagen Golf arriving later this year, VW hasn’t done much to tease it. In fact, the only glimpses we’ve had of it were of the Sasquatch variety — unconfirmed, low-resolution images taken in the wild before the elusive creature vanishes.

There’s now another one. Last week, Instagram user johannes.vag captured a couple of photos of what appears to be a black 8th-generation Golf stopping at a McDonald’s drive-thru in Germany.

While it could be a fake, we’ve seen videos of a similar-looking model crop up in South Africa. That, in addition to the Mk8 Golf’s June assembly date and a few preliminary sketches from the automaker, gives us reason to believe this is probably the real deal and not a tasteful aftermarket job.

Like stern parents who just don’t understand, Wall Street analysts are playing hard to please when it comes to the alliance forged between Ford and Volkswagen. The two automakers made their deepened relationship official at last week’s North American International Auto Show, promising to breed a new generation of commercial vans for the European market, a Volkswagen-badged Ranger pickup, and perhaps much, much more.

While financial onlookers are of two minds on the tie-up, Ford’s stock has its mind made up. It’s staying in its room, as stubbornly depressed as before.

IAV GmbH, the German engineering company co-owned by Volkswagen Group, plead guilty to a felony count of conspiracy in a U.S. District Court on Friday, to the surprise of absolutely no one. Last month, authorities said the firm had already agreed to a guilty plea and multi-million-dollar fine for its role in helping Volkswagen Group develop software that could effectively help cars falsify emissions test results.

That makes the courtroom officiation little more than a formality. While the court wants to conducts a probationary investigation, effectively delaying sentencing until May 22nd, there is little doubt what the final penalty will be — $35 million and two years of operation under the supervision of a court-appointed monitor.

Four men tasked with developing a very dirty diesel engine for use in Audi vehicles have been indicted by a U.S. grand jury. The four, including the head of Audi’s Diesel Engine Development department, face charges of wire fraud, violation of the Clean Air Act, and conspiracy, all stemming from the development of an engine that didn’t have a chance of being certified in the U.S.

And, because they’re believed to be living in Germany, they’d best leave the U.S. off their list of vacation destinations.

Volkswagen spent the past year and change hinting that its Chattanooga, Tennessee assembly plant could become ground zero for an electric American product offensive, and guess what? That’s exactly what VW plans to do.

In a not-at-all surprising announcement, the German automaker said it plans to build electric vehicles at its only American plant, which just happens to have plenty of excess capacity. Backing up this promise is $800 million, which, in addition to funding the necessary tooling, should lead to the creation of 1,000 new jobs.