2004 Volkswagen Jetta Gl Sedan 4-door 2.0l on 2040-cars

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VW using other manufacturing locations as leverage in battle with TN [w/video]

We've reached a new step in the ongoing drama at Volkswagen's factory in Chattanooga, TN. The United Auto Workers recently dropped its opposition to the union vote and agreed that it wouldn't hold another ballot for at least a year. Now, the new question becomes where VW is going to build its forthcoming midsize SUV.
Earlier, it had been considered all but certain that the SUV, likely a production version of the CrossBlue concept (pictured above), would be built in Tennessee. However, it seems the Chattanooga factory might have competition to produce it. In emails obtained by The Detroit News, VW's lawyer wrote to the Tennessee economic development department in January saying, "While we understand there are some 'non-deal' issues that are causing a delay in the TN solution, VW has been successful in reaching agreement on terms at the alternative locations."
As previously reported, the state of Tennessee allegedly offered VW about $300 million in incentives to build the vehicle there and create an estimated 1,350 jobs, but it later rescinded the deal. Newly leaked documents from NewsChannel 5 (WTVF-TV) in Nashville allegedly show just how close that offer was to being completed. It appears that VW actually sent the government the first draft of a memorandum of understanding agreeing to the incentives, but the state removed the offer in late January.

Silverado HD, Touareg V10 TDI face off in diesel tug-of-war

A couple weeks ago, we watched a Chevrolet Silverado get dominated by a Dodge Ram Heavy Duty in a fullsize pickup tug-of-war, but in that truck's defense, Chevy's Vortec gas engine was no match for the torquey Cummins turbo diesel. For our next round of vehicular tug-of-war, a Duramax-powered Silverado HD takes on Volkswagen Touareg V10 TDI.
Now, on paper, putting the Duramax V8's 365 horsepower and 660 pound-feet of torque up against the V10's 310 hp and 553 lb-ft looks like an easy win for the Bowtie, but unfortunately, this battle has a similar result as the Dodge versus Chevy video, with the Silverado smoking its tires trying to move forward as it gets pulled backwards. Put another way: YouTube 2, Chevy Silverado 0.
It just goes to show, though, that big tires, bolt-on fender flares and goofy smoke stacks don't improve your towing abilities. Besides, what did the Silverado driver expect when the Touareg V10 TDI has towed a Boeing 747 in the past?

VW reveals Outback-rivaling Golf Alltrack ahead of Paris

The Volkswagen Passat Alltrack is getting a baby brother at this year's 2014 Paris Motor Show in the form of a new Golf Alltrack. Like its larger sibling, the little wagon is supposed to offer light-duty off-road driving ability combined with a more rugged look to show it off.
To give the Golf Alltrack that soft-road ability, VW is outfitting the wagon with its latest 4Motion all-wheel drive system from Haldex. The setup can decouple power from the rear-axle when not needed to save fuel. To further improve traction, the Alltrack gets VW's electronic differential lock, and the car can individually brake its inside wheel during hard cornering for better handling.
Volkswagen also wants the Alltrack to be able to visually show that it can handle getting away from the pavement, even though it starts life as a standard Golf wagon. That means jacking up the suspension an extra 0.75 inches and adding black moldings all the way around the car. There are also redesigned bumpers for the front and rear and silver underbody protection, plus new accents like anodized roof rails and silver mirror caps. The interior is essentially unchanged from the wagon, except for altered trim and Alltrack badges.