The decision to make a new generation of Volkswagen Phaeton has been made and the new car will emerge in three years.

Just as the first-gen Phaeton was the legacy of Ferdinand Piëch, the new one will be current CEO Martin Winterkorn’s last hurrah before leaving the company.

The Phaeton is a luxury saloon which offers what you get from a Mercedes S-Class and Audi A8, and it is engineered like a Bugatti Veyron, the same level of craftsmanship and attention to details. It is an unbelievably good car. But, it has never been as successful as its fellow German rivals.

That’s largely because of the badge. People wealthy enough to buy a car with the standards of Phaeton like to get a badge to show if off a bit, so they go and get a Mercedes.

With the new Phaeton, VW is setting its sights on the Jaguar XJ.

They say the new Phaeton will be for those who find the XJ ‘bit too avantgarde’ and want something more understated. The car will be light and efficient with a body made largely of aluminum.

Sadly the W12 will be gone by then and won’t be offered for the new Phaeton. Instead it will get forced induction engines to provide satisfying performance, and will utilize stuff like cylinder deactivation to meet economy targets. There will also hybrid and plug-in powertrains available for it.

via: MotorTrend