Dr. Lars Hofmann, Volkswagen Research department powertrain, talks about Volkswagen’s new hybrid parallel system. What does Toyota and General Motors use and how is VW’s different? The new Hybrid uses a 7-speed Direct Shift Gearbox (DSG) transmission with TSI and dry clutches. This allows for a fuel economy of about 100 kilometers using 6 liters of petro. TSI and CNG (natural gas) increase turbo lag, but Volkswagen’s Twin avoids turbo lag.