VW is showing more signs of expansion out of its closet/

jimt

November 30, 2004

Volkswagen AG, Europe's biggest carmaker, plans to sell a diesel-fueled
version of its light- commercial Eurovan vehicle in Mexico as part of a
strategy to boost sales of diesel-powered passenger cars in Latin America.

The company will import Eurovans with diesel engines from Germany to test
demand in Mexico, where the diesel vehicle market is limited to trucks, said
Thomas Karig, Volkswagen's director for corporate relations and strategy in
Mexico, on Monday in a telephone interview from Puebla, Mexico.

Depending on demand for diesel-fueled Eurovans in the country, Volkswagen
might boost Mexican output of diesel-powered passenger cars such as the
Jetta and the New Beetle to sell domestically, Karig said. Jettas and
Beetles with diesel engines are manufactured in Mexico for export to the
United States and Canada.