I doubt VW was trying to feed 170 amps into the AGM. Is the cabling 4/0? didn't think so.
I think these higher rated output alternators are merely for more overhead safety margins.
My 130 amp alternator, by my observations, could likely reach that output, if I put the second V belt back on, and revved the engine to 4000 rpm when cold.
When hot at 550 idle rpm, the thing can only make ~30 amps. This is with an undersized pulley.
If I have my blower motor on high and the headlamps on, 10 amps are flowing from my battery to make up for what the alternator cannot provide
I've seen my screwy 31 take well over 70 amps from the alternator, I've seen my Northstar group 27 AGM take well over 90.
Not sure of the durations that these could accept these rather extreme currents. My Ammeter is not on the dash for easy observation, and once my alternator heats up is it not capable of delivering them anymore.