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Volkswagen to Bring Phaeton Back to U.S.

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The last time the Phaeton was released in the U.S., it came with either a V-8 or W-12 powertrain and was priced from $60,000 to well over $100,000 for the high-end trim. 

The 2004-2006 Phaeton has gone down in infamy as a botched attempt to move Volkswagen upmarket. Volkswagen sold 3,354 Phaetons in the U.S. between 2003 and 2007. Over the same time, Audi (a subsidiary of VW) managed to sell seven times as many A8s, a model that shares some components and underpinnings with the Phaeton. As a result, the Phaeton was discontinued due to poor sales, but it continued to sell in Europe. 

VW has committed to a strategy to move downmarket in the U.S. by introducing a competitively priced 2011 Jetta and a soon-to-be-released “large” family sedan that will compete with the Toyota Camry and Honda Accord in a way that the 2010 Passat never could. How will the Phaeton fit in VW’s plans? Will it be marketed akin to how the 2011 Toyota Avalon and 2010 Ford Taurus are — an affordable alternative to low-end luxury — or will the U.S. Phaeton be the same opulent vehicle released at the Beijing Auto Show (pictured above) and essentially compete head-to-head with the A8 and BMW 7 Series? So long as the V-6 and V-8 models are released in the U.S., this time the vehicle might have more of a chance in terms of sales, though the W-12 model is still offered in China. No immediate timetable was given for an on-sale date in the U.S.

If Volkswagen is truly committed to its strategy to make its brand more mainstream, we’d have to assume it’s not about to make the same mistake with the U.S. Phaeton twice. 

Volkswagen Bringing Luxury Phaeton Back to U.S. (USA Today)

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