I just went to the Karmann home page in Germany. There is no news about canceling the XFire. All of the wallpaper downloads are there, and they had photos of a new model Roadster with a custom leather top, in lieu of the canvas. If they were no longer building the car, I am sure their news page would have mentioned it.
IMO DC may have a problem with dealer interest.

And, that is why we are not seeing 06's or just seeing 1 or 2 here and there.
Chrysler cannot force the dealers to take the cars. And, if you have 04' and 05' cars, which are costing you money, sitting on the lot, why would you order 06's? This is the ultimate Catch 22 for a dealer. This car is too expensive to continue to be the DC loss leader. Even with incentives, the dealers were taking a beating with cars on the lot for 300 days +. I am sure not many of them are interested in reliving that nightmare.
Just my .02