Volkswagen AG unveils its much-anticipated attempt at a luxury vehicle, the Phaeton sedan, at the Geneva Motor Show in March. The Phaeton, which will compete with BMW AG's 7-Series and Mercedes-Benz S-Class sedans, has three powertrain choices: a 3.2L 241-hp V-6, a 6L 420-hp W-12 and a 5L 313-hp V-10 TDI — the most powerful diesel engine offered in a passenger car.

VW's highly acclaimed 4MOTION all-wheel-drive system will be standard equipment on Phaeton models powered by the W-12 or V-10 TDI. The Phaeton's exterior styling carries some cues from the Passat, while subtle touches provide a more luxurious appearance. A signature characteristic of the Phaeton's exterior is the unusual design of the third side window and the C-pillar extending rearward to give the sedan a more coupe-like appearance.

The interior exudes clean lines, providing visual harmony. The upper part of the dashboard consists of a structured body base, available in a range of colors. The steering wheel and the gearshift are sheathed in leather and wood.