A VW sports car is a much better idea than a VW luxury car. Now just price it right.

Volkswagen’s stylish Concept R show car, named AutoWeek’s “Most Fun” car at last September’s Frankfurt motor show (AW, Sept. 22), is going into production.
The mid-engined roadster, conceived as a cut-price alternative to the Porsche Boxster, is slated for launch in late 2007 with the choice of either four or six-cylinder power, according to Wolfsburg insiders.
VW chairman Bernd Pischetsrieder all but confirmed plans when he stated recently that the German automaker plans to bolster its niche market potential in future years rather than relying on traditional volume sellers like the Polo, Jetta and Passat. In a report in Auto Motor und Sport, Pischetsrieder said “the roadster will be built” as a mid-engined model like the concept for proper balance and to more easily meet coming Euro pedestrian crash standards.

Mechanical details remain scarce, though it is likely the roadster will use suspension components from both the Polo and Golf. Three different gasoline engines could be used: a 2.0-liter, 148-hp four, the 2.0-liter, 197-hp turbocharged four-cylinder FSI from the soon-to-be-launched GTI, and a 3.6-liter, 280-hp V6 due out next year as the replacement for the engine in today’s Passat. The mid-mounted engines would come with either a standard six-speed manual or optional direct shift gearbox with steering wheel-mounted paddles.