Volkswagen prices limited-edition Beetle GSR

Only 3,500 built worldwide

Volkswagen is bringing back the yellow-and-black Beetle GSR for 2014, more than 40 years after the “Yellow Black Racer” (Gelb Schwarzer Renner) debuted for the first time. That car had around 50 hp; the new one will eclipse that by just a little bit.

On sale today, the Beetle GSR will use VW's turbocharged 2.0-liter TSI engine making 210 hp and 207 lb-ft of torque. The sprint to 60 mph will take a respectable 6.6 seconds while speed will top out at 130 mph. Peak torque is delivered at only 1,700 rpm, and a six-speed manual transmission is standard.

The 2014 Beetle GSR will start at $29,995, not including destination; the DSG-equipped car costs $1,100 more.

Only 3,500 will be produced globally, sporting the classic bumblebee paint scheme. “GSR” lettering is pasted on the side skirts, while 19-inch Tornado aluminum alloy wheels sit at all four corners. We first saw the hopped-up bug at the Chicago Auto Show in February.

Inside, the Beetle GSR has a yellow/black theme, sport seats and a leather-wrapped steering wheel. The seats are black leather with yellow stitching. Elsewhere in the interior, changes including an R-Line dash pad, a GSR shift lever and black floor mats with yellow accents. A badge on the steering wheel will note the limited edition.

The GSR is based on the R-Line with Sunroof and Sound with Navigation model -- yes that's the full name – and it comes with the Fender premium audio system, keyless access with push-button start, xenon headlights, heated front seats and Bluetooth, in addition to the sunroof and nav system.

We Hear: Volkswagen Phaeton Rejoining U.S. Lineup?

Volkswagen may bring the luxurious and expensive Phaeton sedan back to the U.S. market next year, according to Bloomberg. The new report says that the Volkswagen Phaeton will be re-introduced at the Detroit auto show, although company officials say otherwise.

The first-generation Volkswagen Phaeton was sold here from 2004 to 2006, but it was never much of a success and was quickly pulled from our market. The pricey luxury car didn’t necessarily fit with the Volkswagen brand image — an Audi-priced executive sedan was in the same showrooms as the Jetta. Moreover, customers who wanted a true luxury ride could instead pick the similar Audi A8. Sales of the Volkswagen Phaeton in America peaked at 1939 units in 2004, before dropping to 820 in 2005 and just 235 in 2006.

Since then, Volkswagen executives have vacillated over whether to bring the Phaeton back to America. Now Bloomberg reports that the car will be shown at the Detroit auto show in January, so that the high-end model can boost Volkswagen’s image in the U.S.

“A brand as large as Volkswagen needs a halo project in the upscale segment,” Volkswagen CEO Martin Winterkorn told Bloomberg. “We’ve seen what happens to brands that don’t have that kind of project.”

However, a Volkswagen representative in the U.S. said the company is unaware of any plans to show a Phaeton concept or production car at the Detroit show. He stressed that the company is focused on building its core models, and that Winterkorn’s comments may have been talking about a long-term goal for Volkswagen of America to eventually add a halo product. He also noted that if the Phaeton were introduced here again, sales would be “not very high.”

“We’re concentrating on the segments that we’re already in,” the Volkswagen representative told us, conceding that, “there’s no reason why we can’t offer more niche vehicles” in the future.

Volkswagen U.S. sales for the first sixth months of this year are down 0.9 percent compared to the first half of 2012. However, the company did not plan any major introductions and sees 2013 as a “consolidation” year. Moreover, year-to-date sales of the Passat are up 1.9 percent after the car had its best ever June sales result. The car is holding its own against a strong suit of rivals: last month, the Volkswagen Passat was the ninth best-selling model in the hotly contested midsize sedan segment.

This generation of the Volkswagen Phaeton was introduced at the 2010 Beijing Motor Show. It is related to the Audi A8, and features expensive touches like traffic sign recognition, a selection of several types of wood trim, a length list of leather upholstery, massaging seats, and more. Prices in Germany start at €70,000, equivalent to $91,900.

Volkswagen is expected to launch a new midsize crossover at the 2014 Detroit auto show, which will likely be based on the CrossBlue concept shown in Detroit last January.

Source: Bloomberg

Volkswagen Taigun poised for production

German automaker moving closer to joining small-SUV ranks

Volkswagen has moved a step closer to joining the small-SUV ranks -- it will produce its compact Taigun, VW sources told Autoweek.

Looks like it won’t head to the U.S., though. Volkswagen officials suggest they don’t think the new model’s compact dimensions and three-cylinder gasoline and diesel engines fit American tastes.

First shown as a concept at last year’s São Paulo motor show, the front-drive Taigun is meant to slot into Volkswagen’s lineup two classes below the existing Tiguan. According to VW, the small SUV market accounted for more than 8.7 million sales worldwide in 2012, and that number will only go up in the coming years with strongest demand in developing economies across Asia and South America.

The Taigun’s biggest competitor will be the similarly conceived Ford EcoSport. The Ford will offer optional four-wheel drive, though, and at this point VW’s plan calls for front-drive only. Why? VW wants economies of scale with the car’s sister model, the smaller, more-affordable Up hatchback.

Volkswagen says the Taigun also seeks to provide buyers with a more distinctively styled and versatile alternative to a growing number of compact front-wheel-drive SUVs, including the Fiat Panda Trekking, Suzuki Jimny and its own CrossUp -- the latter tentatively planned for launch in Europe later this year.

No official timeline for the production Taigun’s introduction has been revealed, though the product-planning team says the new car has already progressed past the concept stage into an initial engineering program. If all goes according to plan, the new Volkswagen SUV should be on sale by 2016. Also in ’16, VW intends to launch a long-wheel-base, second-generation Tiguan, previewed at the Detroit auto show back in January as the CrossBlue concept.

Volkswagen plans to assemble the Taigun at two manufacturing plants to satisfy what it hopes will be strong sales in many developing markets. Left-hand drive examples will likely hail from its operations in São Paulo, Brazil, with right-hand-drive examples set to come from its plant in Pune, India. Producing it at a third plant in Kaluga, Russia, is also being looked at.

The Taigun is based around Volkswagen’s New Small Family platform structure (PQ12). The VW Up also uses it. It’s stretched a bit though: At 97.2 inches, the new SUV has a 2.0-inch longer wheelbase than the Up, while the track widths remain the same -- 56.2 inches front and 56.0 inches rear.

The stretched PQ12 was originally planned to underpin a production version of the SpaceUp concept revealed in various guises. However, this model has now been placed on the back burner as Volkswagen commits its engineering resources to getting the Taigun into showrooms.

Engine options for the Taigun will probably be a range of gas and diesel three-cylinders mated to either a standard manual or optional dual-clutch gearbox. A natural gas variant is also planned. Volkswagen officials remain non-committal whether electric and gasoline-electric hybrids are also in the works.

Meanwhile, the Taigun doesn’t mean VW has abandoned plans for a slightly larger SUV to rival the Nissan Juke, Opel Mokka and Mini Countryman.

Such a model is considered crucial to Volkswagen’s goal of meeting ambitious sales targets in various markets, including the U.S. “There is obvious room between the Taigun and Tiguan for a further additional model,” sources told Autoweek. “But we are taking things one step at a time.”

While Volkswagen denies any concrete plans, rumors suggest it is likely to be based around Volkswagen’s widely used MQB platform.

Driving the Taigun

Parked next to the curb in San Antonio de Areco, a sleepy Argentinean town, the Taigun is put into perspective in the very surroundings it can expect to encounter when sales begin in 2016.

Concept cars have a tendency to appear out of place away from the motor show spotlights, but apart from its vivid blue paint scheme, the new entry-level Volkswagen SUV looks convincing among the cafes, shop fronts and municipal buildings lining the town’s square.

It is unmistakably a Volkswagen when you’re standing next to it, with clear similarities to the larger Tiguan. A wheel-at-each-corner stance also gives the Taigun visual confidence for something so compact -- its 17-inch wheels with 205/65 tires fill the substantial wheel houses nicely.

Nothing is official just yet, but signs are the new five-door will see production with only subtle changes to exterior styling, a collaboration between Volkswagen’s main design studio in Wolfsburg, Germany, and its Italian offshoot Giugiaro.

VW officials suggest the grille could be toned down to reflect the more reduced look other recent Volkswagen models have. Same goes for the headlamps. The two-piece tailgate gives excellent rear access but is too complex for a lower-market car. A simpler, one-piece hatch will likely replace it.

A turn behind the wheel on a variety of roads shows the Taigun combines a small SUV’s elevated seating position with a small hatchback’s compact dimensions. The concept has a compelling completeness, hinting its development is perhaps more advanced than Volkswagen is willing to admit.

With front seats mounted 27.3 inches above the ground, you sit 2.5 inches higher in the Taigun than in its mechanically identical sibling, the Up. It doesn’t sound like much, but the moderate increase in seat height is sufficient to provide the driver with quite a commanding view of the road, along with excellent visibility to all corners.

Overall length is 151.9 inches; the car is 68.0 inches wide and 61.8 inches high. Still, the Taigun gives the impression it is a much larger car from inside, thanks to deep footwells, generous cabin width and rather substantial seats.

The interior, including its high-mounted dash, has been conceived for production, although certain aspects will need reworking before that point. Same goes for the brightly colored trims and neoprene upholstery -- no doubt the showroom version will use quieter hues and more traditional materials.

Once underway, the concept’s 1.0-liter, 109-hp turbocharged three-cylinder direct-injection gasoline engine, borrowed from the upcoming Up GT, provides peppy performance with entertaining aural properties while the six-speed manual gearbox has a crisp and urgent feel across the gates.

At just 2,194 pounds, it is relatively light, so it doesn’t take much engine effort to propel it along at typical city speed limits; with 129 lb-ft of torque between 1,500 and 3,500 rpm, there’s low-end pull aplenty and sufficient midrange shove to make it lively despite the engine’s modest output.

Volkswagen claims the Taigun will crack 62 mph in 9.2 seconds and reach 116 mph -- should be fine for a car conceived primarily for urban driving.

The Taigun’s most-impressive facet is maneuverability. The electro-mechanical steering is nice and light, the turning circle tight and the engine is responsive.

It also feels home on the open road; the steering retains its directness with added speed, the square footprint ensures solid stability and though still in early development, the concept displayed solid body control at moderate speeds. The ride clearly needs some work before it could be deemed showroom ready, but on the whole the concept is well engineered.

Volkswagen should produce the Taigun several ways: an unadorned standard version for the first-time car buyer, a more rugged version featuring the concept’s roof bars and spare wheel mounted on the tailgate, and a luxury version with an up-market interior and other goodies.

The concept is a glimpse into what to expect. If the production car keeps its confident good looks and engaging on-road character, it will do well in what is set to become a big, tough market segment. Roll on 2016.

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