By Drew Johnson
Friday, Jul 27th, 2012 @ 1:43 pm
 
Following the successful launches of the Jetta and Passat, Volkswagen is looking to further "Americanize" its U.S. Lineup. VW says it is considering a new compact SUV tailored for the U.S. market, as well as the possible return of the Phaeton.

In a recent interview with Automotive News, Rainer Michel, Volkswagen of America's vice president for product marketing and strategy, revealed that the German automaker is seriously considering a new compact SUV for the U.S. market. The compact SUV would slot below the automaker's Tiguan SUV and would likely be built in North America to avoid the high costs associated with importing cars from Europe.

Michel indicated that the SUV could offer three-rows of seating, but added that styling would not be sacrificed in the name of extra space.

Michel also confirmed that VW is thinking about adding a larger utility vehicle to slot between the Tiguan and Touareg. Jonathan Browning, CEO of Volkswagen of America, revealed earlier this year that a new mid-size SUV was "under discussion."

Both utility vehicles are viewed as an integral part of VW's plan to sell 800,000 vehicles in the United States by 2018.

On the opposite side of the spectrum, Michel says VW is deciding whether is should re-launch the Phaeton sedan back into the U.S. market. Although the low-volume Phaeton wouldn't be much of a help to VW's sales goals, Michel says the car could go a long way in boosting the brand's premium image.

"It's certainly under discussion," Michel said of bringing the car back. "To prove this brand can command this 5 percent premium, we need cars like that."

More diesels
In addition to an expanded model lineup, VW could also widen the availability of its fuel-efficient diesel engines. Currently about 20 percent of VW's lineup is comprised of diesels, but Michel says that figure could be bumped to 30 percent with the addition of a new Tiguan diesel model.

No word when a diesel-powered Tiguan might launch in the United States.