Motoring the Future: VW and Toyota Vying for Pole Position by Engelbert Wimmer

By Engelbert Wimmer

The main issue within the car has ended in a race among Volkswagen, as challenger, and Toyota, as tattered international industry chief. if it is theGerman or theJapanese company that takes pole place, the winner will swap the stability of strength within the car and cleared the path to the vehicles of the long run.

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69 miles per US gallon – mpg US), considering only new-car registrations in the EU. In the short term start–stop automatics, efficient transmission and six as well as eight-cylinder direct injection engines should help to reduce emissions. By 2013, the Group plans the new S 500 to come with a plug-in hybrid charging system, the luxury cruiser is supposed to become a three-liter vehicle in the end. This is perhaps the most dramatic example of a general revolution in car manufacturing that will only gain momentum in the years to come.

32 billion), arising at about €700 million (US$1 billion) per year mainly from joint purchasing, administration, financial services, and the all-important technology sharing. 9 billion). 2 billion) in convertible bonds, so that the Group gains flexibility with an additional financial instrument. That was necessary because corporate rules do not allow VW to issue more new shares than already approved: following this, he was unable to issue any further preferential shares for six months. 5 billion) as of May 2011.

E. the extent to which individual car parts are produced by VW-owned facilities. VW has in-house component facilities for axles, transmissions, and car seats, for example, keeping more than 15,000 employees busy in VW-owned plants; about the same number of employees produce other vehicle components such as bumpers. In-house supply of parts can come with cost disadvantages – especially when external suppliers such as world market leader Bosch can manufacture standard parts far cheaper by aggregating production volume across several original equipment manufacturers (OEM) – and in previous years VW’s production depth was often cited as a major reason for its poor productivity.

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