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2013 Australian Motor Show axed

This year’s Australian Motor Show in Melbourne has been cancelled by its organizers three months before its planned opening. Falling attendance figures played a big part in taking the decision, as did what is seen as a lack of manufacturer support. The Australian International Motor Show Joint Venture's event director Russ Tyrie said the decision was taken "based on a consensus view of the automotive industry to focus limited marketing budgets in 2013 on firm-specific activities, rather than an industry-based motor show." The Volkswagen Group's decision not to attend may well have acted as the final nail in the coffin along with Hyundai's hesitancy despite initial support.

Porsche Macan gets four-cylinder powerplant

The new entry level Porsche Macan, shown alongside the new Boxster and Cayman GTS at the Beijing motor show, has become the first Porsche model since the 968 to use four-cylinder power. Parent company Volkswagen's EA888 engine -- as used by a wide range of models from Volkswagen, Audi, Skoda and Seat -- will motivate the new Porsche SUV. The turbocharged 2.0-liter inline four-cylinder direct-injection unit, boasting the same state of tune found on the Golf GTi Performance Package, develops 234 hp and 258 lb-ft of torque between 1,500 and 4,500 rpm.

Volkswagen hits back, weighs making a bid for Porsche

Volkswagen is considering an audacious reverse-takeover bid for its majority shareholder, Porsche, in a twist in the drawn-out struggle for control between the two German carmakers. The Volkswagen Group's supervisory board is said to be weighing the possibility of purchasing Porsche AG, in a move that would relieve its holding company, Porsche SE, of massive debt that industry analysts suggest the company may not be able to fund should the world's financial crisis drag on well into 2010--a scenario put forward this week by the International Monetary Fund. The secret plan emerged as shareholders were set to convene at Volkswagen's annual meeting on Thursday, and it comes after Porsche revealed that it is carrying some 9 billion euros ($11.73 billion) in debt, most of it owing to interest on loans taken out to purchase its 50.8 percent stake in VW.