VW Favoring Mexico Plant for North American Golf Mk7, Expected to go on Sale at the End of 2014

One of the reasons why Volkswagen hasn't officially mentioned anything about the North American availability of the new, seventh generation Golf that was presented at the Paris Motor Show last week, is because it hasn't reached a final decision on where it will produce the compact hatchback for the local market.

Nevertheless, that may change soon as VW CEO Martin Winterkorn told German magazine Automobilwoche, a sister publication of Autonews, that the company is leaning towards its factory in Puebla, Mexico, for the North American production of the new Golf. The same plant also builds the Jetta saloon.

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Mercedes and Renault-Nissan to Develop New 4-Cylinder Turbo Engine, Share Auto Transmission

On the sidelines of the ongoing 2012 Paris Auto Show, partners Daimler, owner of the Mercedes-Benz and Smart brands, and the Renault-Nissan Alliance, confirmed plans to collaborate on two more powertrain projects, including a petrol engine and an automatic transmission.

The first project is a jointly developed 4-cylinder turbocharged gasoline engine family. The direct-injection petrol unit is said to deliver significant improvement in fuel economy as well as low emissions.

The two automakers will jointly manufacture the new engines that will debut in Daimler, Renault and Nissan vehicles in 2016.

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Renault Releases Updated 2013 Fluence in Mexico, European Model to Follow

The Renault brand has lifted the covers off the facelifted version of the Fluence compact sedan in Mexico, a move that suggests the French carmaker may introduce the European model as early as this week's Paris Motor Show. Read more »