“Green” tax breaks were introduced in Thailand last year. This is an effort of the nation as the world’s largest manufacturer of light pickups to tuck the title in the years to come. Annually, Thailand churns out 900,000 one-tonne trucks. The figure is three-fourths of global output.

The government is threatened by escalating oil prices and global warming concerns that could result in truck sales doldrums. This scenario could put a dent to Thai economy because shoppers are expected to shift to fuel-efficient compact cars. These reasons prompted the Thai government to offer incentives for the manufacturer of “eco-cars” that meet European emission standards.

"First-time car owners, and especially motorcyclists who want to become car owners, are cost-conscious consumers," said Surapong Paisitpatnapong, spokesman for the Federation of Thai Industries' automotive club. "Investments in eco-car production will help grow this new segment of the country's domestic auto market while increasing exports.”

By far, seven automakers have proposed eco-car projects to Thailand's Board of Investment. The automakers include Toyota Motor Corp., Volkswagen AG, and Tata Motors Surapong said four proposals have already been approved.

Also, Honda Motor Co. intends to invest $214 million to assemble eco-cars while manufacturing engines and parts in Thailand. Suzuki Motors, meanwhile, will invest $303.658 million to build a new factory in central Thailand. Approximately 80 percent of cars produces will be for export. Nissan Motors Co. also will invest $177 million to build 120,000 units annually. The output is also mainly allotted for export.

"Eco-cars are going to be hot in Thailand's auto market. The lower prices for these minicars, along with high oil prices, will drive up the demand," said Nongnapat Wilepana, a Nissan dealer in Bangkok.

AFP reported that under the scheme, the companies will not have to pay corporate income taxes on their investments for eight years, and duties on imported machinery will be waived.

“Thailand's main worry is that its auto industry depends entirely on foreign companies, since the kingdom has no national automaker,” Surapong noted. “That means the country will have to keep wooing automakers with attractive offers in the future to deter them from looking for better deals for their factories in other countries.”

Auto experts say that women prefer chic and fun cars.

Earlier, NBC divulged the top ten flirtiest cars. First on the list is the Volkswagen Beetle. Statistically, the Volkswagen Beetle is the most popular car for women, with 57 percent of all buyers of Beetles since July having been women, according to JD Power and Associates. The starting price $16,400 and its uniqueness seem to be the feminine appeal of the car.

"Females, they have a much better sense of styling than men," said Tom Lisle, the general manager of Denny Hecker VW Dealership in Inver Grove Heights, Minn. "I think they like being different."

The Volkswagen Jetta continues to be one of the most popular automobiles for young women, "(The Jetta) is especially popular with college students," Yos noted. "It's a fun, very affordable car. It's safe, sporty, and we have a great college graduate program."

Third on the list is the Mitsubishi Eclipse Spyder. While it has fallen in popularity in the last two years, the Eclipse Spyder was the most popular car for women in 2005, according to JDPA, with 65 percent of all buyers being female.

Next in line is another VW car – the Eos. Yos, however, views the car as appealing to an almost solely female clientele, mostly in their 30s. "I think I've only sold one male an Eos so far. It's definitely a female-driven car," he said. "I think it definitely has an elegant feel to it, just a really sleek line."

BMW enters the list with its captivating Z4. The Z4 is engineered to cater to auto fetishes of successful, young women. Even for those who cannot afford the car, the Z4 still is still their option.

And also Toyota RAV4, a sleek SUV. "It has a sporty feel, but you're still high enough up so you feel like you have the security of an SUV, but with great gas mileage," Yos said. "It's very inexpensive. You can get Rav-4's for as little as $20,000. They're real great starter cars."

Completing the list are the Honda CR-V, Pontiac Solstice, Mini Cooper, and the Mazda Miata.

The new Volkswagen Formula 3 engine has made its successful racing début during the DTM weekend at the Nürburgring.

"The new Formula 3 engine from Volkswagen has completed many hours of rig testing and reeled off plenty of test kilometres on the track. Now it's time to test it in direct competition," said Volkswagen Motorsport Director Kris Nissen.

Volkswagen initially equips three vehicles in the Formula 3 Euro Series. Maximilian Götz from Uffenheim (Germany) and Jonathan Summerton from the United States contest the series for the Italian Team RC Motorsport, while Marco Holzer from Augsburg (Germany) competes for AM Holzer Rennsport, using the new two-litre engine delivering about 210 hp of the Wolfsburg-based manufacturer.

In the Formula 3 Euro Series race on Saturday, Maximilian Götz in his Dallara F306 VW from Team RC Motorsport finished sixth thus immediately accumulating points in the début race. Additionally, on Sunday, Götz claimed ninth place, thus finishing in the top ten for the second time. In the first race, Götz advanced from grid position eight to sixth place. Götz started the race on Sunday from third place – the top eight in the first race start to the second event in reverse order. "Our goal is to equip six racing cars with our engines next year and to contest all races of the Formula 3 Euro Series. A third Dallara "powered by Volkswagen" driven by Marco Holzer, 19, is fielded by Team AM Holzer Rennsport.

Aside from the races of the Formula 3 Euro Series – in which the Wolfsburg-based automaker is making its comeback – and the ADAC Volkswagen Polo Cup, the other racing projects are represented at the Nürburgring as well. According to the Paddock Talk, the Golf GTI, which clinched class victory and the spectacular eighth place overall in the 24h-race in June, and the Race Touareg, which will be fielded by Volkswagen in January in the 2008 Dakar Rally, are on display.

The reason is that the Malaysian government is looking to close a deal with Volkswagen AG that will see the German automaker purchasing majority of the shares in Malaysian automaker Proton.

Aside from Volkswagen, General Motors is also reportedly interested in the acquisition of the Malaysian automaker. Although the American automaker has expressed its interest in the Asian automaker, the Malaysian government is looking to sell their share to Volkswagen.

According to reports fro the Malaysian newspaper, the European automaker will have to shell out “a few hundred million ringgit” for 51 percent of the Malaysian automaker. This amount is only expected for the initial capital that Volkswagen will have to pour into Proton. With Volkswagen posting increased sales in Europe and the United States as well as their increasing presence in the growing Asian auto market would mean that the automaker has the financial stability to save Proton in the brink of bankruptcy.

The apparent preference of the Malaysian government to Volkswagen is given more credential as Malaysian the Edge newspaper reported that Volkswagen will be examining “certain assets” of Proton. Aside from having the backing of the Malaysian government in marketing Volkswagen vehicles in the country, it can also be expected that Volkswagen will widen their offering around the world by marketing Proton vehicles in the global auto market.

The new Beetle is being penned to easily adapt for a wide variety of model variants. The upcoming Beetle is the reason why the German automaker has hesitated bringing the Scirocco, an almost identical car, stateside.

The Beetle was widely scorned for its odd styling, rough ride, weak power, and high noise levels. It remained a hot seller even as rear-wheel drive traditional subcompacts were improved until ultimately replaced by front-wheel drive models. “In principle, I like the New Beetle save for its interior. Buyers seeking practicality and efficiency over style and nostalgia will likely pass on a Beetle."