The Karma will initially be built by Valmet Automotive in Finland but Wanxiang indicated it plans on shifting production to the United States as soon as possible. The sedan will carry on with a gasoline-electric plug-in hybrid drivetrain developed before FIsker’s highly-publicized downfall and a lithium-ion battery pack manufactured by A123 Systems, a firm that joined Wanxiang’s growing portfolio after filing for bankruptcy in late 2012.

Wanxiang will benefit from economies of scale by teaming up with VL Automotive, a company founded by Bob Lutz and Gilbert Villareal, to build a high-performance variant of the Karma powered by a Corvette-sourced V8 engine (pictured). Called Destino, the V8-powered Karma will be built in VL’s Auburn Hills, Michigan, assembly plant.

Although some have criticized Lutz for turning a taxpayer-funded environmentally-friendly sedan into a muscle car, Wanxiang praised VL Automotive for creating “the first true American luxury grand tourin sedan in decades.”

Lutz has not put a price tag on the Destino but he previously hinted it would carry an $80,000 premium over the $100,000 Karma.

“This company has the potential to become a global car company,” Tavares said during a conference call with analysts, as quoted by Bloomberg.

The executive, a Renault veteran, suggests the company will focus on a smaller number of models that will “scare” the competition as they arrive on the market in the coming years.

The turnaround is said to require a significant boost in research-and-development spending. With current R&D spending slightly below the industry average, Peugeot has failed to keep up with competitors in the European market and abroad.

The Chinese investor also plans to expand cooperation and form a strategic partnership, though full details aren’t expected to be revealed until a formal agreement is established in March. The Chinese automotive market represents one of the largest in the world and continues to grow at a much faster pace than Europe or other regions.

The rescue deal has yet to be approved by the European Union and shareholders, though Tavares is confident that it will proceed as planned.

“A faster version of that car would be at the top of most people’s wish lists, but like the cabriolet, it is hard to justify a business case to push either model into production based on the current sales,” Toyota’s VP of European R&D, Gerald Killman, told Auto Express.

The company is reportedly confused about the platform’s sales performance, after the cars were extremely well received by the automotive press, though Killman personally believes the engine “could use a little bit more.”

Subaru has teased a STI-badged BRZ, however the company’s special editions are mostly focused on aesthetic tweaks. All platform variants currently utilize the same 200-horsepower four-banger, forcing power-hungry tuners to bolt on their own aftermarket turbocharger to raise output.

Separate reports suggest Toyota may be preparing to resurrect its Supra nameplate, potentially as a production version of the FT-1 concept, while a new entry-level sports car is expected to be slotted below the FR-S with a $16,000 price tag and a 2017 launch target.

Initial reports suggested the Levante would be built at Chrysler’s Jefferson North plant in Detroit, where it would have made sense to share a platform with the Grand Cherokee. Later reports pointed to an underutilized plant in Mirafiori, Italy as the likely production facility due to capacity concerns at the US factory.

The new SUV is expected to integrate Maserati’s Q4 all-wheel-drive system and Skyhook suspension, which were initially engineered for the Quattroporte and Ghibli.

Powertrain options have yet to be confirmed, though a 3.0-liter V6 with 410 horsepower and a 3.8-liter V8 with 530 ponies have been mentioned. European buyers may also have a choice for a 275-horsepower turbodiesel mill, while all packages are expected to utilize an eight-speed automatic transmission.

Despite the apparent platform switch late in development, the Levante is expected to arrive in showrooms sometime next year.

The drama surrounding Volkswagen’s Tennessee facility has encountered a new twist, as the company’s labor leader, Bernd Osterloh, threatens to block any expansion plans in the anti-union South.

Osterloh argues that a works council will be a central element in any decisions related to new US plants. He sits on VW’s supervisory board as one of ten works-council representatives in the 20-member panel, suggesting the threats may easily be enforced.

“I can imagine fairly well that another VW factory in the United States, provided that one more should still be set up there, does not necessarily have to be assigned to the South again,” said Osterloh, as published in the German newspaper Sueddeutsche Zeitung and quoted by Reuters.

The labor leader’s threats appear to be focused on implementing “co-determination,” a popular system in Germany that gives workers important roles in company management. VW representatives have credited this approach with helping the company achieve its current status among the top three global automakers.

Conservative groups urged plant workers to vote against the UAW over fears that unionization would make the state less competitive in the industry. US Senator Bob Corker suggested the company would choose the Chattanooga plant to build a new SUV if the workers rejected UAW representation, while State Senator Bo Watson threatened to kill tax incentives over a unionization move.

“The conservatives stirred up massive, anti-union sentiments,” Osterloh said. “It’s possible that the conclusion will be drawn that this interference amounted to unfair labour praxis.”

Unless the UAW can prove that the legislators were commenting on behalf of the company, which maintained a neutral stance and appeared to welcome the move, the interference claims may be difficult to pursue.

Regardless, VW established an agreement with the UAW to establish a German-style works council if the workers voted for representation. The approach would have been a mix of the German system and the UAW’s typical structure in other US plants.

VW has voiced its intention to establish a works council in Chattanooga despite the UAW rejection, though it is unclear if the company can fully mimic its German operations without violating laws that restrict company-funded unions.

The Cabriolet was previewed by the Adam Rocks soft-roader concept that bowed in Geneva last year. The production version of the pint-sized convertible is equipped with a 500C-like cloth roof panel that fully retracts at the push of a button and folds away neatly above the trunk lid, a setup that minimizes the loss of cargo space.

Roof aside, the Adam Cabriolet is almost identical to its hatchback counterpart inside and out but the concept’s rugged styling cues such as plastic cladding on the wheel arches and on the front fascia have made it to production.

The convertible will likely command a premium of about €2,500 (roughly $3,400) over its closed-top counterpart, bumping its base price to €14,000 (about $19,000) in its home country of Germany. Buyers will have access to a mile-long list of optional add-ons to customize nearly every aspect of their car.

Official details about the Opel Adam convertible will emerge in the coming days. Like all Opel products, the convertible will wear a Vauxhall badge in the United Kingdom.

U.S.-bound?
Like the regular Adam, the rumored Cabrio will begin its career in Europe but it might cross the ocean and wear a Buick badge shortly after its launch. Last year, former GM CEO Dan Akerson stated that the Adam and the Cascada convertible would make great additions to Buick’s lineup in the United States and in China because both models target a young clientele.

General Motors may use its rear-wheel-drive Alpha platform as the basis for the next-generation Chevrolet SS, as well as the replacement for the Holden Commodore, a new report finds.

Last year, when GM announced that it will end Australian production after 2016, the future of the Aussie-built, Commodore-based SS suddenly became uncertain.

But now, the automaker is considering a new plan in which the next SS would be designed and built in the U.S., according to an Autocar report. The sedan would be underpinned by the Alpha platform utilized by the Cadillac ATS and CTS (and the next Chevrolet Camaro), and exported to Australia as a Holden.

The scenario outlined above conflicts with a previous rumor, which suggested that GM would shift the SS and its Caprice PPV police car sibling to a reworked Zeta II platform in 2015, and concurrently move production to North America.

It’s likely that GM is evaluating several different plans as it works to figure out which path its future non-luxury rear-drive sedans will take.

Photo by Andrew Ganz.

The company’s CEO, Sergio Marchionne, has reportedly confirmed that the upcoming Town & Country will switch to a new nine-speed automatic gearbox. An all-wheel-drive variant is also expected, along with improved collapsable seating and a new infotainment system, according to an Automotive News report.

The information contradicts rumors that suggested the nameplate was on the chopping block, to be replaced by a smaller crossover for the 2015 model year. Rather than dropping the offering, the company appears to be doubling down with a variety of new features and promises of improved fuel economy.

Chrysler’s head of design, Ralph Giles, acknowledged that the company has felt pressure to avoid “screwing up something we started,” after the original Town & Country helped establish the segment more than 30 years ago.

New minivans will be a central element of Chrysler’s controversial expansion proposal in Windsor, Ontario. Reports suggest the company has called for subsidies worth more than $700 million from the federal and provincial governments, with plant upgrades expected to cost more than $2 billion CAD.

Unlike Toyota’s Prius and most other hybrid vehicles, which route torque from the electric motor through the same wheels as the gasoline or diesel engine, the Clubman’s electric motor is expected to power the rear wheels only, unnamed sources have told MotoringFile.

The arrangement is believed to give the hybrid hatch a total of at least 190 horsepower, with 134 ponies coming from its 1.5-liter three-cylinder mill to the front wheels. If the report is accurate, the car may effectively act as a rear-wheel-drive platform if driving in electric-only mode. Under hard acceleration the system would switch to all-wheel-drive mode.

It is unclear if the system will be similar to other modern hybrid all-wheel-drive technology, such as Acura’s RLX Sport Hybrid SH-AWD system. The Japanese company uses independent electric motors for each of the rear wheels, enabling torque vectoring.

The BMW hybrid concept that is believed to be used for the Clubman reportedly achieves combined fuel efficiency ratings of up to 94 mpg in European measurement cycles.

The hybrid system is expected to be offered as an option for the 2016 Clubman, alongside traditional gasoline- and diesel-engine options.

The Volvo Ocean Race is one of the most grueling sailing races, requiring teams to cover over 38,000 nautical miles with stops in 11 different cities around the globe. The 70-foot yachts set off on October 4 in Alicante, Spain and finish more than eight months later in Gothenburg, Sweden.

The sailing-inspired Volvo Ocean Race packages include aesthetic tweaks for the V40, V40 Cross Country, V60 and XC60, along with handling upgrades for the V70 and XC70.

The vehicles will be available in four colors–Ocean Blue II, Bright Silver, Black Sapphire and Crystal White–with seven-spoke “Portunus” wheels in 17- and 18-inch diameters. Volvo Ocean Race badges adorn the tread plates and front fenders.

On the inside, black or blond leather upholstery features orange stitching and the yacht-race logo. The orange accents also extend to the door panels and floor mats.

Alongside the sailing-themed packages, a separate special-edition V70 features a lower chassis for improved handling. The company is also offering its XC70 with a full range of dynamic-chassis upgrades for the first time. Both vehicles also add high-gloss black trim details and similarly-themed wheels.