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A VW diesel is good to 3000 rpm... It falls on it's face rapidly afterwards.

You should be fine with a W56 and 4.10:1 gearing... If you have 33" tires, you will be cruising 70 mph @ 2500 rpm in 5th gear.

From what my tech's tell me the power band in the TDI is solid from about 1500 to 4500 rpm...

Also you can unlock a few HP by using this http://www.ross-tech.com/ we have a few customers that have used this and swear by it... Also alot of VW tech's use it as well...