The mule is starting to lose some camouflage, which enables us to get our first glimpse at the undisguised side profile.

Volkswagen's 2011 Touareg has once again been spotted undergoing testing in Southern Germany.

While we can't gather a lot of details, the new Touareg seems to adopt an evolutionary design with attractive curves and redesigned door mirrors. Despite being heavily-camouflaged, the front end is expected to receive VW's new grille (from the Polo and Golf), a revised front apron, and more dramatic headlights. Out back, the sport-ute will likely feature highly stylized taillights to ensure everyone instantly recognizes this is a Volkswagen Touareg.

Boasting a more street-friendly setup, the redesigned Touareg is expected to lose 250-300 kg (551-661 lbs) of weight. Despite being slimmed down, rumors seem to suggest the Touareg will offer a third row seat.

Engine options are expected to include a 3.6-liter V6, a 4.2-liter V8, and a supercharged 3.0-liter V6 with hybrid technology. While the latter produces 245 kW (333 hp) and 440 Nm (325 lb-ft) of torque in standard form, it will be connected to an electric motor that turns out 38 kW (52 hp) and 300 Nm (221 lb-ft) torque.

Volkswagen may debut the 2011 Touareg at the North American International Auto Show in Detroit, but nothing is official as of yet.

Gallery: 2011 VW Touareg Latest Spy Photos