Volkswagen Touareg 150TDI 2011 review

Whenever I hear a volume carmaker (it's usually one of the Japanese or Koreans) say it's moving upmarket, I call to mind the case of Volkswagen. The German giant is a powerful reality check when it comes to unrealistic ambitions. It tried to move upmarket and failed.

Almost a decade ago it brought out a car called the Phaeton, which aimed straight at the heart of the prestige phenomenon that is the Mercedes S-Class. The big Merc sets the standard for the traditional limo segment and it's very difficult to dislodge it from its pedestal. BMW, Audi and Lexus have been trying for years with limited success.

The Phaeton had the right credentials. A powerful, comfortable and meticulously made sedan, it offered a 12-cylinder engine in its most exalted version. Even with a V6 diesel it was a first-rate piece of work.

The reason was that many of its parts were shared with other brands in the group and Volkswagen has the most impressive list of luxury marques of any maker. So underneath the Phaeton, there was an awful lot of Bentley. It was even made in the same factory.

However, as you've probably guessed, that meant nothing to premium buyers. Despite strong reviews, the Phaeton flunked. In the US, the place that offered the best chance of big sales, it was withdrawn after a few years. In Australia, where it would have cost up to $200,000, Volkswagen decided it wasn't worth the bother.

Nobody could accuse Volkswagen of giving up easily. The Phaeton has limped through multiple facelifts and found a few willing buyers in China. There's talk of a new version and returning to the US.

But if Volkswagen, with its immense resources and experience running luxury brands from Audi to Bugatti, struggles to climb the prestige ladder, then what hope for the others?

The same year it launched the Phaeton another ambitious Volkswagen appeared: the Touareg. This is a large luxury SUV that also leverages group resources. It's made in the same Slovakian factory as the Audi Q7 and Porsche Cayenne, and they share much of the engineering and technology.

VALUE

Given the absence of the Phaeton, the Touareg has been Volkswagen's default flagship in Australia since it arrived in 2003. It was easily the most expensive Veedub you could buy, starting just under $68,000 when a Golf could be had for $26,000. In its most extreme form, the Touareg came with a 4.9-litre V10 diesel and cost $135,000.

However, it was still a bargain next to a Cayenne or a Q7. They're not identical, of course, but the most affordable Q7 costs almost $89,000 while a Cayenne with the same V6 costs $104,000.

Which makes the sales figures interesting reading. During the same eight years in showrooms, the Touareg has outsold the Cayenne by just 900. The Q7, which got here in 2006, is already more than 1000 buyers ahead. That's the trouble with luxury. You can't give it away.

So it will be even more interesting to see how the new Touareg goes. There has been a hiatus because the old one was discontinued last year, but Volkswagen has thrown every trick in the book at the new one. It even has reduced the price. Well, it has reduced the entry price but, like phone plans, you need to examine the fine print. So for $62,990 you get a detuned version of the V6 diesel and miss out on quite a bit of kit. But it gives Volkswagen a low headline number.

The next price point is $77,990, which buys a petrol V6 or the more powerful diesel. This is $2000 above the outgoing price and if you want the full-strength Croc Dundee-spec all-wheel-drive -- standard on the previous car -- then you'll pay $82,990. But that's overlooking the free SMS, weekend calls and data downloads.

DESIGN

The new car gets more of everything. It's longer and a little bit wider. A longer wheelbase means more leg room in the rear and extra space for cargo. Despite growing, it's also up to 87kg lighter. Much of this comes from substituting the previous dual-range all-wheel-drive transmission for a lighter system that uses a torsen differential. But weight saving is the name of the game everywhere, so it has been clipped from the doors, suspension and tailgate, too. Features such as an electronic parkbrake instead of the clunky old foot-pedal variety also help.

TECHNOLOGY

The engine vital statistics are virtually the same as before, with slight changes to output peaks. But the car is quicker, with diesel and petrol equally sprightly at 7.8 seconds to 100km/h. More important for this sort of car is it's less thirsty. The best the diesel can achieve is 7.4 litres per 100km and the petrol, now with direct injection, 10.1.

Reduced weight is only part of the reason. Volkswagen has also worked on the aerodynamics and fitted systems used by hybrids, such as brake energy regeneration and stop-at-idle. These are now almost universal on luxury cars.

Finally, there's a new eight-speed transmission which, until gearbox specialists offer a nine-speed (they soon will), is the last word in torque-converter efficiency.

Then there's equipment. The budget 150TDI misses out on an alarm, rear camera, USB connection, power seats and tailgate, some trim and the ability to fit options such as air suspension and gearshift paddles.

But for the other models, virtually any gadget produced by the Volkswagen group is available. This includes active cruise control, collision mitigation, lane and blind spot warning systems, intelligent headlights and multiple cameras around the car that are a boon in tight spaces. Although making full use of all this, especially the cameras, takes a bit of practice.

The full-strength off-road version, 4XMotion, brings low-range gearing with locking centre and rear differentials plus a long-range tank and other offroad essentials.

DRIVING

But that isn't the main game for this Touareg. With the second generation, Volkswagen has changed its focus to urban rather than bush and produced a luxury limo-style SUV. The cabin ambience would not disgrace an up-spec Audi and it's a pleasant place to be. The doors close with a premium thunk and there's a feeling of solidity to the car.

Also impressive is cabin quietness and level of sound insulation. The driver will feel a bit of fizz and vibration with the diesel, and the petrol needs to rev. But the engine doesn't impose and it's the same with wind and tyre noise.

There's a nice composure to the ride, which has something in common with a premium sedan; it's suitably cushioned and you don't get thrown around.

The occasional unwanted upchange from the transmission isn't a deal-breaker either. Most of the time it does the right thing, operating smoothly and delivering engine braking when required.

For a car this tall and heavy, there's even some nuances to the chassis and the control weights are pleasing. Overall, there's the consistency of execution and presentation that we've come to expect of Volkswagen.

This is a worthy flagship for the brand and a strong execution of a mainstream SUV with credible luxury ambitions. But, as with the Phaeton, it's impossible to know whether simply being good at this level is good enough.

VOLKSWAGEN TOUAREG

Price: From $62,990 (150TDI) to $82,990 (V6 4XMotion) plus on-road costs
Engines: 3.0-litre turbocharged V6 diesel, 3.6-litre V6 petrol
Outputs: 150kW/4000rpm and 400Nm/2000rpm (150TDI), 176kW/4000rpm and 550Nm/2000rpm (V6 TDI), 206kW/6200rpm and 360Nm/3000rpm (V6 FSI)
Transmissions: Eight-speed automatic, all-wheel drive.

RIVALS

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