Hot on the heels of Volkswagen’s apparent plans for a Chinese-market luxury sedan, Automotive News is reporting that Volkswagen’s next-generation Phaeton, destined for the American market once again, will start at $70,000.

According to AN, the next Phaeton will include a plug-in hybrid, as well as a V8 TDI engine. A W12 is also expected to make a return, though this will likely not be sold in the United States.

Despite sorely needing a larger crossover and a refresh for key products like the Jetta, Volkswagen is persisting with their dream of selling a high-end sedan in the United States, at a price point that is encroaching on their premium marques like Audi and Porsche. The Phaeton, for all its engineering excellence, was a massive flop in the United States.

On the other hand, the product VW most sorely needs in America, is conspicuously absent from their lineup, and VW has only just settled on where it will be produced, after a round of serious horse trading and internecine squabbling. The Phaeton, according to AN, has apparently been completed already, but VW seems content to continue the current car’s production run, owing to its popularity in China.

This, dear readers, is a great example of how the company continually seems to misunderstand the American market. Rather than get to work on plugging the biggest hole in its lineup, the company persists on a fool’s errand masquerading as a vanity project.