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I recently took apart a type 3 engine with valve stem seals on the heads. It was a high milage engine and the valves were shot but the seals were still supple and seemed to be in good condition. I asked my local vw parts house about valve stem seals and they said they hadn't been offered in years because they weren't needed with modern valve guides. Later I thought to myself,"What if the valve guides wear to the point that they leak some oil but still do their job?". I think valve stem seals would be a good idea just in case engine conditions make them beneficial. I would guess there are some valve stem seals in production that would fit the type 3 engine. Bye the way I used to work in a Porsche shop and don't recall the aircooled models having valve stem seals though I never got to take a really old engine apart either. It also wasn't considered normal for them to smoke. They would'nt have been alowed on the streets in the 90's if it was. Many porsche parts that lasted longer and performed better than comparable VW parts were also exponentially more expensive. This may be another factor. On another note I've owned a few buses with type 4 engines and none of them ever smoked out the tailpipe. ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ List info at http://www.vwtype3.org/list | mailto:gregm@vwtype3.org