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My daughter has a 99 beetle 2.0 liter automatic. The blue light basically stays on all the time, and she says that sometimes the tranny will not shift. It doesn't do it all the time as she drove the car this morning and it worked fine. Went out this afternoon and it wouldn't shift.

I noticed that there is no dipstick so I'm assuming VW decided to make it difficult to even check the fluid...
 

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5/23/10 <3
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The blue light means the engine is cold. If it actually is cold, then likely a bad thermostat. But it could also be a bad coolant temp sensor.

As for the transmission, I would see if you can scan the car for codes.
 

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i had my blue light on my 2001 2.0 bug the other week when i got her. i ordered a new coolant sensor, took 10 mins tops to change now its fine:D. i was told if the blue light flashes that could be the thermostat. im going to change that too when weather gets warmer.

dont know jack about auto trannys sorry :(
 

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My daughter has a 99 beetle 2.0 liter automatic. The blue light basically stays on all the time, and she says that sometimes the tranny will not shift. It doesn't do it all the time as she drove the car this morning and it worked fine. Went out this afternoon and it wouldn't shift.

I noticed that there is no dipstick so I'm assuming VW decided to make it difficult to even check the fluid...
Unfortunately, the transmission problem you describe is fairly common for the NB, especially the earlier model years of the NB. If you search these forums, you'll quickly find that this can be an expensive problem to fix. :(
 

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Coolant level is good? My girlfriends 2000 beetle 1.8t auto had this problem, not shifting to into 3rd or 4th is a limp mode, you should check the shift solenoids on the trans I believe there are two, I would get them tested or replaced before you drive the car anymore.
 
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