Germany has a special relationship with cars – the country pioneered the very first. That close bond has continued ever since. It's as though German carmakers have been sprinkled with stardust.
Right. No more prevarication. No more beating about the bush. From the outset, there has only ever been one outcome. The facts and evidence are compelling. Follow the paper trail, and it leads to one car industry. The carmakers are like a string of pearls, and leave no stone unturned. From my perspective, the strongest car industry in the world is, the German car industry.
In reality, given the fact that German carmakers have transformed failing brands from rival car industries, it’s hardly surprising that the German car industry has come out on top. That omnipresence on the global stage epitomises the contradistinction between the German car industry, and the rest. The juxtaposition highlights how rival car industries simply don’t, and can’t get close.
Germany has always had a close connection with cars – Carl Benz pioneered the very first. The transpiring legacy that’s followed has continued that special affinity, ever since. Today, the German car industry is a powerhouse, it’s a formidable force of sheer strength, scale and scope. And one brand has gone from strength to strength, to become one of the strongest carmakers in the world. It’s the flagship of the German car industry.
The Rosetta Stone of this carmaker is the augmentation into an automotive group that comprises twelve brands. Based on this factual evidence, it’s incontrovertible. That automotive manufacture, is the Volkswagen Group. The backbone of this empire, is the Volkswagen brand itself. With a range of such depth, diversity and inclusivity, the VW brand consistently produces a peerless portfolio, that stands head and shoulders above rivals.
"The VW brand is the lifeblood of the VW Group. It's the bedrock carmaker underpinning everything"
There’s a consistency in each car category that’s unmatched by most. The Golf 8 testifies to the high-level VW operate at – it’s almost mythical. So much has been said about the Golf, that you run out of superlatives to describe its significance. It pioneered the hot hatch category with the original Golf GTI, and it continues to be the trendsetter with the new Golf 8 GTI. Its iconic status means the Golf has powerful influence, with considerable clout. The GTI variant defines the parameters of hot hatch hooliganism.
With the new Golf 8 GTI, the pendulum is counterpoised between performance and practicality. It’s a car with multiple dimensions that are perfectly balanced. From a 2.0 litre turbocharged engine comes 242bhp, so pace is plentiful. 0-62mph is done in 6.2 seconds, the top speed is 154mph. Sure, the new GTI isn’t the most hardcore Golf hot hatch that VW will have stocked in its range, but that’s because the GTI has become about so much more than velocity statistics. With realistic speed that can be deployed and unleashed on public roads, it has a likeable, fun nature that seeps and drips into you. It’s infectious.
An aspect that VW continues to develop on the Golf GTI is its sense of self. It’s mature and grown up. It’s cool, calm and collected. It’s not unsettled or ruffled by any trial or tribulation; it adapts to any scenario or situation. Yet it looks modest and unassuming, enough to blend in to surroundings unnoticed – the hallmarks of the GTI brand hide in plain sight. This relentless advancement makes the Golf 8 GTI the jack of all trades. As the torchbearer to the original GTI hot hatch, the Golf 8 GTI has become all the car you could ever need, and all the car you could ever want.
But the GTI brand is not the highest-ranking category. No. The top tier level is the performance brand, Volkswagen R. A strong player in the line-up is the first ever Tiguan R. In 2019, the Tiguan was the most popular model of the brand, and the entire VW Group, with 911,000 examples made. To all intents and purposes, the new Tiguan R is a big deal. And it doesn’t disappoint, as it lives up to the brands purpose.
Under the bonnet, you get a revised 2.0 litre turbocharged petrol engine, making 319bhp. That power is sent through 4Motion – VW jargon for four-wheel-drive – and 7-speed DSG transmission. The Tiguan R is armed with new technology, called R-Performance Torque vectoring. That variably distributes torque between both axles, and left and right wheels for better traction. It’s evident that the Tiguan R is looking to make a bold performance statement.
Visually, it looks athletic, but in no way frivolous. It has dapper aura that makes the Tiguan R hard not to like. As part of the updated Tiguan range, an eHybrid version has been introduced too. With a 1.4-litre TSI combustion engine paired with a 13kWh battery pack, it develops 243bhp and offers up to 31 miles of electric range. That’s a shrewd compromise. Plus, a modernised interior with in-car technology and touch panel control surfaces has spurred the Tiguan forward as well.
Putting the bigger picture into context, the Tiguan R is just one newcomer in a growing fleet of the flagship Volkswagen R performance brand. It lines up alongside its SUV stablemates the Touareg R and T-Roc R, the new Arteon R Shooting brake and Fastback saloon, while we await the upcoming new Golf R. It has realigned the VW pecking order and underlines the brands unrelenting drive.
The VW brand is the lifeblood of the VW Group. It's the bedrock carmaker underpinning everything. The company can interpret the needs and demands of a car brand, and put in place the resources to revolutionise them into objects of want and desire. Evidential examples in each carmaker across the VW Group prove this. And the pendulum swing of brand transformations is remarkable.
"Seat was rescued by VW. The current range constitutes some of the ripest fruit to hang from the VW Group tree"
The first member of the VW Group to be purchased was the Audi brand in 1965; it’s become one of the most seductive premium carmakers in the German car industry. With such a wide-ranging portfolio in 2020, Audi has an outfit for every occasion. But the most multipurpose and masterly is the RS6 Avant, it’s the pick of the bunch.
There are lots of juicy bits to dissect on the RS6 Avant. But the pièce de résistance is the 4.0 litre twin turbocharged V8 engine – it’s a masterpiece that turns Audi’s super-estate into a ballistic missile. With a monstrous power output of 592bhp, the RS6 Avant is an absolute weapon, with crushing performance. 0-62mph takes just 3.6 seconds, before hurtling to a limited 155mph top speed. But that can be derestricted, to 174mph. The pace of the RS6 Avant is like a spiralling vortex of energy and power, it’s all consuming.
Under the surface, the RS6 Avant has tricks up its sleeve for fast driving. One of those is Audi’s infamous quattro all-wheel-drive for greater traction, another is dynamic all-wheel steering to improve low-speed manoeuvrability and high-speed stability. The result is quick-witted and surefooted handling, the RS6 Avant is the embodiment of Vorsprung durch Technik. That trend continues on the updated interior. Audi has introduced intuitive touchscreen interfaces that looks minimalist and modern. As a family super-estate, the RS6 Avant aces every aspect.
But it’s not just the Audi brand that sets the standards. After an acrimonious dispute over resource, Fiat ended its thirty-year partnership with Seat in 1982. Chairman of the VW Group, Dr Carl Horst Hann, approached Seat with a proposal of commerce. Seat needed investment; the VW Group could provide it. In 1986, Seat was acquired, and the Spanish carmaker became the first non-German brand to be owned by the VW Group. The move was part of a plan to turn the VW Group into a global force. Seat was rescued by VW.
The current range constitutes some of the ripest fruit to hang from the VW Group tree. The tastiest bunch comes from the Cupra models; this trademark combines sporty and performance ingredients that result in the fastest Seats. Cupra cars are essentially Seats injected with a big dose of testosterone. Detaching itself from the sensible Seat image is the Ateca Cupra, Seat’s first hot crossover. Underneath, it’s a car of serious substance.
With a 2.0 litre turbocharged petrol engine, the Cupra Ateca makes a substantial 300bhp. That’s good for some significant pace, with 0-62mph taking just 5.2 seconds, and a top speed of 152mph. All this power and speed is supplemented with all-wheel drive and a DSG automatic gearbox – so none of the performance potential is lost and wasted. It’s a strong package, with next to no tangible weaknesses. It’s analogous to Seat; the brand potential continues to be realised as a member of the VW Group.
And the same can be said for Skoda, in 2020, the brand continues to hit new heights. But in the 1980s, Skoda was on the verge of collapse. Owned by the Czechoslovakian state, a lack of investment, and archaic management, meant Skoda was being dragged into tenebrous places. It threatened to become obsolete. The carmaker was unfashionable, unreliable and just could not compete with stronger brands. A vacuum of uncertainty consumed Skoda.
But it was a brand with potential, and the VW Group seized the opportunity in 1991. The resource chest was deployed to transform struggling Skoda. VW became Skoda’s salvation. In 2020, the fruits of VW labour culminates in the strongest and most complete Skoda range there has ever been. An example testifying to this would be the Kodiaq, the seven seat SUV. Reinforced by a first VRS performance version, it’s a dark horse in its category with a long list of cracking credentials.
"VW became Skoda’s salvation. But the crowning jewels were yet to come for the VW Group"
It has the most powerful production diesel engine in Skoda history – the 2.0 litre TDI unit produces 236bhp. That means the Kodiaq VRS has good performance; it will do 0-62mph in 7 seconds, and continue on to a top speed of 139mph. But the barometer of dynamic driving is measured in the most menacing racetrack, the Nürburgring. It set the lap record for a seven-seat SUV, completing the 12.9-mile circuit in just 9 minutes 29.8 seconds. As a sporty SUV for fast families, the Kodiaq VRS is a gratifying choice.
But the crowning jewels were yet to come for the VW Group, with hallowed figure, Ferdinand Piëch. As Chairman of the Executive Board of the VW Group between 1993 and 2002, Piëch orchestrated the acquisition of several high-profile brands. Bentley was one of several masterstrokes. Piëch wanted Rolls Royce too, but due to commercial reasons associated with BMW, The Spirit of Ecstasy slipped through his fingers.
Such was the magnitude of his ambition, Piëch admitted: “We went for a peaceful solution,” before stating, “I would have preferred to keep both brands.” It will remain a case of what could have been for the VW Group. But for Bentley, the brand has risen like a phoenix from the ashes. From the current range, the model that best encompasses the resurrection of Bentley, is the Continental GT V8 Convertible.
Performance isn’t the first and foremost important aspect, but should the need arise, the Bentley has velocity in reserve. Lurking under the long bonnet is a 4.0 litre twin turbocharged V8 that churns out 542bhp. That equates to 0-62mph in 4.1 seconds and a 198mph top speed. But the Continental GT V8 Convertible is about more than speed. It’s a regal and refined continent cruiser. It’s like a sailing yacht for the road. It’s plush and sumptuous, but not ostentacious. The Conti is an expression of dignified elegance.
The Bugatti brand on the other hand inhabits another realm, the hypercar sphere. In performance terms, Bugatti are uncompromising and ruthless. It’s the ultimate brand that makes the fastest, most powerful and most exclusive cars in the VW Group. As well as purchasing the Bugatti trademark, VW also bought the 1856 Chateau Saint Jean, formerly Ettore Bugatti’s guesthouse in France. The VW Group refurbished it, and the property became headquarters of the carmaker.
That decision was a touch of class by VW. It shows understanding, care and attention for the pedigree and heritage of Bugatti. It underscores the fact that Bugatti is VW’s project brand for pushing boundaries. An example of this would be the Chiron Super Sport 300+, the record breaking car to breach the 300mph barrier. The company story is extraordinary: when VW acquired Bugatti in 1998, they were bankrupt. In 2019, Bugatti produced the fastest car in the world, with a 304.77mph top speed. VW made that happen. Period.
Lamborghini have VW Group fingerprints all over the brand too. Turned into an extravagant, exotic and extreme carmaker, the seductive nature of Lamborghini has been harnessed with serious performance. In doing so, VW have ditched the dubious standards Lamborghini had been languishing under prior to their takeover. It’s proven to be a winning formula that has energized the aura and vibe of the brand. It’s elevated Lamborghini to a new level.
And the Sian FKP 37 takes Lambo to a level so radical, it ruptures and redefines supercar parameters. The name has pertinent meaning. Sian stands for “flash of lightning” in Italian, highlighting it as the first hybrid hypercar Lamborghini has produced. FKP 37 has sentimental value, as it represents the initials and birth year of former Chairman of VW Group, Ferdinand Piëch, who died in 2019. Without his impact and influence, Lamborghini would have been erased from existence.
"Like the VW Golf, you run out of superlatives to describe the Porsche 911. Both have the winning formula. Both have limitless potential"
The VW Group and Lamborghini are intertwined by Ferdinand Piëch; the updated FKP 37 name honours that close alliance. And the car. That lives up to the name. With a 6.5 litre V12 engine making 774bhp, the electric motor adds 34bhp. Those figures combined make the Sian FKP 37 the most powerful Lamborghini ever made, with 808bhp. Performance resembles a flash of lightning with 0-62mph done in just 2.8 seconds, the top speed is 217mph. It’s a car of special significance.
Porsche also possess special significance in the VW Group. Both brands have collaborated closely in the past, most notably with the design of the VW Beetle, done by Ferdinand Porsche. Cooperation in common interest had continued in countless areas. But it’s not always been straightforward. Porsche failed in an attempt to acquire VW in 2008. Weak finances left Porsche vulnerable, and VW turned the tables. In 2009, VW bought 49.9 per cent of Porsche for €3.9bn. That was followed up in 2012, with VW purchasing the remaining half for €4.5bn.
It gave the VW Group complete control of Porsche, and the potential to become an unstoppable force. Thereafter, Porsche have risen into another zone, the range reflects that through its expansion. But the nucleus of Porsche is the essence of the brand. After 56 years, the iconic 911 still sets the benchmark. The 992 series is shaping up to be the most complete yet. A timeless classic is the 911 Carrera S. It continues to defy convention with its 3.0 litre twin turbocharged flat six engine fitted behind the rear wheels.
And it continues to defy the odds in performance terms. With 444bhp, and manual transmission, the Carrera S will go from 0-62mph in 4.2 seconds. With PDK transmission, that 0-62mph time drops to 3.7 seconds. And with Sport Chrono Package ticked, that drops further, to 3.5 seconds. That sort of pace just resets the standards. Like the VW Golf, you run out of superlatives to describe the Porsche 911. Both have the winning formula. Both have limitless potential. Both leave you speechless.
But the VW Group hasn’t just acquired carmakers. No. It has acquired a motorcycle maker too. That maker, is Ducati. The incentive came from former Chairman of the VW Group Ferdinand Piëch. He had declined a chance to purchase Ducati in 1985 for a price he called “peanuts”, but regretted not accepting the offer. The interest lingered, and in July 2012, Lamborghini purchased Ducati for €747m. Lamborghini is owned by Audi, and Audi is owned by the VW. Ducati expands the brands portfolio beyond carmakers.
From the surface, the VW Group operate on another level compared and contrast to rival carmakers. But it’s not all been plain sailing. Far from it. The VW Group has had to navigate stormy seas. An evidential example is the self-inflicted "Dieselgate" scandal that involved "defeat device” software in certain diesel engines to subvert emissions tests. However, the VW Group are unlikely to be sole perpetrators, just the manufacture that got caught. For now. Even so, the saga has had ramifications for the VW Group – more than €30bn in fines has been paid out worldwide.
But the VW Group has the financial capacity to absorb that cost. This can be substantiated with facts and evidence that prove just how strong the German car industry is. In 2019, the VW Group topped the global car rankings. Defying the odds, its market share expanded, as deliveries increased by 1.3 percent. The VW Group shifted 10,974,600 units. Despite the turbulent backdrop, the VW Group routed rivals.
With rank topping performance, comes strong operating profits. The VW Group accumulated €19.3bn during 2019. Operating profits also exceeded pre-scandal levels in 2017 and 2018 too. It indicates the strong position the VW Group is in. And, it gives the impression that "Dieselgate" undoubtedly damaged the perception of the brand, but it hasn’t damaged the reputation of VW as a carmaker. And if it did, the groups reputation has recovered.
“'Dieselgate' undoubtedly damaged the perception of the brand, but it hasn’t damaged the reputation of VW as a carmaker"
In spite of the fallout and aftermath of “Dieselgate”, the seriously negative state of affairs became the catalyst for change. It was a watershed moment, that turned into a launchpad of opportunity. In October 2015, the VW Group radically rerouted the future roadmap. VW announced plans to develop an EV platform. It was called Modular Electric Drive Toolkit (MEB). This has been made available to other carmakers for adoption – Ford will be the first to do so from 2023. A trailblazing initiative.
The full-scale of the plans were not revealed until December 2018, when VW pledged to spend €80bn on EV development. It was a statement of intent. And that was just the start. The VW Group have continued to invest strongly. As part of the Together 2025 strategy, VW's "electric offensive" will pick up pace. €60bn is committed to future areas over the next five years, with €33bn allocated for electromobility. This is all part of the VW Group's plan to become "the world market leader in e-mobility". If anything, “Dieselgate” has empowered and emboldened the VW Group.
As the flag-bearer for the German car industry, the VW Group is a strong ambassador. But there are other carmakers that hoist the colours too. One yardstick brand is the Daimler Group. Its Mercedes-Benz cars have been through a process of regeneration that now culminates in the strongest ever range. But the most desirable Mercedes’ come from the AMG Performance brand – the range is like a fleet of street racing silver arrows.
One standard-bearer of AMG is the C63 S Estate. With the trademark AMG 4.0-litre biturbo V8 engine that makes 510bhp, it has a natural disposition to be driven fast. With such power at your disposal, performance is effortless, all the time. The race to 62mph takes just 4.1 seconds, and the colossal pace will continue to surge until you hit a top speed of 174mph. And if that’s not fast enough, the AMG Driver Package will increase that to 180mph.
A significant factor influencing perception of the Mercedes-Benz brand is the relentless domination of the Mercedes-AMG Petronas team in Formula One. It’s given the carmaker a sporty image that’s cool and seductive. And the C63 S Estate fits that remit. It’s a powerful performance machine, and a classy multipurpose package, all in one. It’s a balancing act that Mercedes-AMG has found the sweet spot for, and that comprehensiveness ripples across the range with deft affect.
An exemplification of that point is the specialised BMW M Performance brand. And on the M2 CS, it’s an art that BMW have mastered. It shares in the same performance formula that underpins the DNA of all BMW M cars – it’s been extensively upgraded. With the powertrain, the 3.0 litre twin turbocharged six-cylinder engine has been modified to produce 444bhp. To extract maximum performance, a seven-speed double clutch transmission can be installed. Or for greater interaction, a manual option can be fitted.
Both variants are satisfying. But as a human that’s accustomed to sensory elements, I’d have the manual transmission – you feel more connection, so it’s a more rewarding experience. With its condensed proportions, the M2 CS is a close, compact machine to drive hard and fast. And when you do, it will light up your senses. But when you don’t, it will temper down. Despite the nature of its M badge, the M2 CS has the ability to be unassuming. It’s an ultimate driving machine.
BMW is a benchmark torch holder for the German car industry. The multifarious range is a paragon of proficiency in development, design and engineering. The fact that the BMW Group acquired the MINI and Rolls Royce brands is demonstrable evidence substantiating this point. Both carmakers were on the edge of being airbrushed from existence. Both have been transformed by BMW. It’s a recurring pattern in the German carmakers. That pattern is no coincidence. Its corroboration attesting that the German car industry is the strongest in the world.
"The mantra of German brands is quality. The German car industry understands that a carmaker survives, or dies, on the altar of this trait"
Of course, that doesn’t mean it’s exempt from scrutiny and criticism. The challenging times mean that the German car industry can't escape cold realities. It remains to be seen just how much longer the VW Group can retain its brand range. Only time will tell. And, for the record, I completely condemn the Volkswagen emission scandal. Plus, although the German car industry is the strongest, that doesn't mean every car they make is good. The Smart brand is so absurdly pretentious, that I’d rather walk. But these difficult observations, questions and examples don't outweigh my core point of view.
The mantra of German brands is quality. The German car industry understands that a carmaker survives, or dies, on the altar of this trait. Hence why Skoda and Seat have become more premium. The advantage of a car manufacture like the VW Group, is that they pool resources and distribute expertise. This method has considerable benefits. With such vast resource to invest in research and development, it’s not only cost-effective, but also efficient, as it streamlines production processes.
That fundamental framework is essential to the synchronicity of the German car industry. It’s an infrastructure and network of collaboration and cooperation. Those ties that bind fosters a spirit of connection, and stimulates an environment of innovation. These deep foundations make the German car industry the strongest in the world. It puts German brands in pole position to pioneer the electric frontier. It puts German carmakers in a league of their own.
German Car Industry: First Place – Winner!
Photos: Volkswagen, Audi, Seat, Skoda, Bentley, Bugatti, Lamborghini, Porsche, Ducatti, Mercedes-Benz, BMW
Comments