The big news for the 1970 Volkswagen Karmann Ghia was a bigger engine. The 1585 cc unit developed 57 bhp and featured better breathing, a stronger crankcase and improved oil cooler. It could whisk the Coupe and Convertible from 0-60 mph in 21 seconds and to a top speed of 82 mph. A new carburetor was designed to reduce emissions and Karmann Ghia models also received larger wraparound front turn signals and larger taillights which integrated the reversing lights. Hair cord carpets replaced rubber mats.

The new engine offered a useful increase in power and was accompanied by front disc and rear drum dual-circuit brakes, and a 12-volt electrical system. The rear tread was wider and a sway bar included with softer rear springs. With two double jointed constant velocity joints on each rear axle and trailing arms, the rear suspension eliminated the rear wheel “tuck under” problem with earlier cars when they were cornered hard. However the Super Beetle’s new McPherson strut front suspension was never fitted to Karmann Ghia models.

A 3-speed semi-automatic transmission (called Automatic Stick Shift) was offered for the 1970 Karmann Ghia Coupe and Convertible. The ratios corresponded to 2nd 3rd and 4th gear in the stick shift. Gears were manually shifted and drivers could start off in any gear, including top. Low was for slow city traffic, 2nd for overtaking or hills and top for cruising on the highway. The car could only be started in neutral and reverse engaged only when the car was stationary. The loss in power (which VW’s never had much of to spare) inherent in this system meant that it was never popular and quite a few cars were subsequently fitted with 4-speed manual gearboxes.

Coupe sales declined slightly to 24,893 and Convertible production totaled 6,398. Prices rose slightly, with the 1970 Volkswagen Karmann Ghia Coupe costing $2399 and the Convertible $2609.

A number of new paint colors were available while interior choices were somewhat streamlined. Exterior colors included Pampas Yellow, Amber, Bahia Red, Black, Albert Blue, Pastel Blue, Irish Green and Light Ivory.