Report Suggests VW is Preparing for a Change in US Leadership: TDS

      Volkswagen of America CEO Kjell Gruner presents the new Atlas SUV on stage.

      Dimitrios Kambouris/Getty Images for Volkswagen of America

      The most significant automotive news and reviews, no nonsense

      Our free daily newsletter delivers the stories that truly matter to you every weekday.

      Welcome to The Downshift, or TDS for short, The Drive’s morning news roundup featuring the major automotive headlines from across the globe.

      The Downshift summarizes news briefly, including links to full articles for those looking for more details. We hope you enjoyed your weekend, and here’s your update for Monday, August 31, 2026.

      🪪 A recent report indicates that Volkswagen of America is set to experience a significant personnel change, with current Audi sales director Marco Schubert likely to succeed Kjell Gruner as the VW Group’s top executive in the U.S., as Gruner plans to leave the company. The automaker's American division had high hopes for the new Atlas SUV, which launched this past summer, but it has not met expectations, and insiders claim it is not generating the same profit margins as the previous model did. [Automotive News]

      🚙 Jeep has released a 17-second teaser video for the upcoming Cherokee Trailhawk, showcasing its ability to navigate obstacles such as dunes and rocks. [Carscoops]

      ⚡ In other Jeep news, the Recon EV is finally on the verge of launch, and it has been noted that its specifications now boast 20 additional horsepower, totaling 670 hp. Unfortunately, the range is still a modest 230 miles. Dealers are also offering substantial discounts in advance of the sale. [Carscoops]

      🍁 Toyota and Honda are expected to be the most affected by the trade war between the U.S. and Canada, as the two manufacturers account for three-quarters of all vehicles produced in Canada. If the Trump administration implements the proposed 50% tariffs on Canadian-built vehicles starting January 1, it could significantly impact some of their production lines. [Reuters]

      🤝 Nissan and Honda have announced plans to launch their jointly developed ECUs and software by 2029. [Reuters]

      🏭 General Motors reached a preliminary agreement over the weekend with the Canadian union Unifor to manufacture the next-generation heavy-duty GMC Sierra at a plant in Ontario. [Reuters]

      🪖 Ford CEO Jim Farley mentioned during a recent earnings call that the company is seeking to expand into more U.S. military projects, stating, “We already lead this market in the commercial sector. We aim to provide the U.S. government with the same benefits that our commercial clients receive.” [Ford Authority]

      📱 According to a new study, 35% of individuals who own vehicles with a front-passenger touchscreen report that it has never been used. [Motor1]

      🍏 Lexus has revealed yet another limited-edition IS for North America, featuring a new “Envious Green” exterior color and black BBS wheels. Only 350 units will be available for purchase. The third-generation IS made its debut for the 2014 model year. [Lexus]

      🏁 Weekend race results:

      WRC Rally Del Paraguay: Sami Pajari for Toyota

      NASCAR O’Reilly Auto Parts Series at Daytona: Ryan Sieg for RSS Racing

      IndyCar at Milwaukee: Pato O’Ward for Arrow McLaren (Races 1 and 2)

      NASCAR Cup Series at Daytona: Ryan Preece for Roush Fenway Keselowski Racing

      MotoGP Aragon Grand Prix: Marc Marquez for Ducati

      GT World Challenge America at Road America: Justin Rothberg and Robby Foley for Turner Motorsport

      Do you have a tip or feedback for TDS? Contact us at tips@thedrive.com.