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  • Volkswagen Plans On More SUVs, and Delays A Crossover

The decision on where Volkswagen's upcoming crossover should be built has ended up becoming a tug-of-war between Mexico and Tennessee. Reuters reports that Volkswagen has delayed a decision that was expected this month on where the crossover will be built after the respective governments negotiating with VW over incentive deals.

"VW is taking way too long again to tackle another pressing U.S. problem. The crossover will be a gainful addition to their portfolio, VW has got no time to waste," said Arndt Ellinghorst, London-based analyst at ISI Group.

Two sources tell Reuters that the company is planning to make a final decision at the end of the month.

In other Volkswagen news, Bloomberg has learned that company could expand its SUV lineup from two to six models. Volkswagen believes to reach its goal of becoming the number-one global automaker by 2018, more SUVs will be needed as they become more popular in other markets. Among those are redesigned versions of the Tiguan and Touareg, and a production version of the T-Roc Concept.

Source: Reuters, Bloomberg

William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.

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This is interesting. Even though VW has been here since 49, one gets the impression that they have never really understood the US market. And they need to US market for economies of scale, lest someone else who is marketing well here use that same efficiency of scale to encroach on VW's markets in Europe, South America, and China.

They already have double the lineup of Subaru yet get beaten by them in sales constantly..... perhaps another tactic is in order?

VW needs to start by firing their team that thinks it understands the US market, Clean house on Marketing, Style, Engineering, etc. They are clueless on the US market and it will only change if they clean house and start over. Their bland none inspirational products leave the bulk of the market looking to some other vendor. What ever they think works in Europe is not working here or anywhere else.

Robert Hall

Premium Subscriber

Interesting... it's too bad their sales aren't stronger, I find their cars far more appealing than the typical Asian appliances.

They already have double the lineup of Subaru yet get beaten by them in sales constantly..... perhaps another tactic is in order?

That's because Subaru has a much better reliability rating, and they know who they are and why they are here.

smk4565

Members

Why on earth do they need 6 SUVs? Gas prices are going up, not down, and even Ford has 5 SUVs and the Flex is totally pointless, and does anyone still buy an Expedition? VW could use a 3rd SUV because the Toureg is pretty expensive and sort of big, I could see them adding something to the Tiguan at the lower to mid price points.

VW cars are mostly boring though, the diesels get great mileage, but a lot of American buyers don't shop on gas mileage or want a diesel. Americans want pickups and full size SUVs, (VW has neither) and Americans want Cam-Cords, reasonably priced appliance transportation.

Why on earth do they need 6 SUVs? Gas prices are going up, not down, and even Ford has 5 SUVs and the Flex is totally pointless, and does anyone still buy an Expedition? VW could use a 3rd SUV because the Toureg is pretty expensive and sort of big, I could see them adding something to the Tiguan at the lower to mid price points.

VW cars are mostly boring though, the diesels get great mileage, but a lot of American buyers don't shop on gas mileage or want a diesel. Americans want pickups and full size SUVs, (VW has neither) and Americans want Cam-Cords, reasonably priced appliance transportation.

5025 Expeditions sold last month, an almost 2000 units increase over the same month a year ago. Yes Ford Expeditions still sell.

Socialist Europe has chosen to hurt everyone with their idiot tax structure and heavy death by Unions that is going on. I am willing to bet there are far more people there that would rather drive a comfy sit up high SUV than the garbage compact auto's that most are forced to deal with.

Europe is also a very different market in places because they have excellent public transit and old cities with really tight access. Were I to live in Italy in a city with streets dating to 1412, I would drive a car the size of a Fiat 500.

Were I to live in Wyoming, a Suburban would work fine, although a pickup would do better.

Living in a city like Columbus, Ohio or Pittsburgh, PA a GTI or an Encore is about right.

YMMV

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