So this above comment is definitively debunked for the 2005 Touareg. Being snarky feels good on the internet... but make sure you actually know what the heck you're talking about before you mansplain, TRespect

No precoding is necessary. Both my ebay Chinese key and my new old stock key (as well as my old original keys) were all just 100% programmed. No immobilizer warnings. No fob malfunctions. I can use the remotes and start the car with all of them... even the plastic valet key.
I used the Vag Key tool from ebay for $50 and got my SKC and then my Rosstech cable with VCDS to do the key adaptation.
I have re-written the Rosstech instructions to be accurate for the 2005 model with color dash display.
INSTRUCTIONS WHEN AT LEAST ONE (1) KEY IS ALREADY PROGRAMMED
Begin with an existing/ programmed/ “old” key in the ignition ON position but do not start the engine
[Select]
[05 - Acc/Start Auth.]
[Meas. Blocks - 08]
Select Block 022.
[Go!]
The value in field 3 must be 1. If value is not 1, the key is not capable of being adapted to Immobilizer.
You can check each key in this manner.
This may be displayed as field name KEY OK with possible values of Yes or NO. The field must have a value of YES to proceed.
*Perform this procedure for each of the keys to be programmed
Select Block 023.
[Go!]
Make sure the shown lock times in field 1, 2, 3 and 4 are 0 (each field represents a time in minutes).
If the lock times are greater than 0:
Do NOT switch off the ignition!
Allow the car to sit for AT LEAST the number of minutes that were indicated by the fields 1-4.
CHECK THE VALUES OF BLOCK 23 AFTER THE FINAL KEY ADAPTATION HAS BEEN MADE
[Done, Go Back]
[Sec. Access - 16]
4-digit PIN
Enter zero followed by the 4-digit PIN.
For example, if your PIN is 1234, enter 01234.
7-digit PIN
[Do it!]
Turn the key into ignition position. Key adaptation cannot continue until ignition is on. On automatic transmissions with color display, you must wait until the gear selection indicator is visible on the right side of the cluster display. Dome lights may dim and other relays and modules may also activate at this time. Adaptation will not be successful until these conditions are met.
[Adaptation - 10]
Enter 21 in "Channel Number".
[Read]
The "Stored Value" is the number of keys currently matched.
Enter a "new value" corresponding to the total number of keys to be matched, including any existing keys.
[Save]
[Done, Go Back]
[Close Controller, Go Back - 06]
Note: During the following steps, do not leave any one key in the ignition for longer than 30 seconds and try to perform the entire adaptation process for all keys within 60 seconds, total.
Begin multiple key adaptation with key #1 (an “old” key that has previously been paired to the car). When “learning in progress” message appears on the cluster display, turn ignition OFF and insert key #2. Turn ignition ON and wait for about 3 seconds. Steering wheel should unlock. Turn ignition OFF and remove key. Steering lock should engage.
Insert any additional keys, turn on ignition, and wait for about 3 seconds. Steering wheel should unlock. Turn ignition OFF and remove key. Steering lock should engage.
Finish by inserting key #1 again and turning the ignition ON. No messages related to learning or immobilizer should appear on the screen.
IMPORTANT: before attempting to start the car
[05 - Acc/Start Auth.]
[Meas. Blocks - 08]
Select Block 023.
Wait at least the amount of time listed in any of fields 1, 2, 3, or 4
Test each key by starting the vehicle engine and allowing it to idle for at least 10 seconds. There should be NO “imobil. activated” message on the cluster, the engine should remain running, and the steering lock should be disengaged with each key.
When I tried to program my keys, I went from 3 to 0 total programmed keys—they were all inadvertently deleted. The procedure looks a little different when you are programming starting from 0 “old keys” and you may get multiple immobilizer errors during the procedure while the keys are being programmed.
INSTRUCTIONS WHEN ZERO (0) KEYS ARE ALREADY PROGRAMMED
Place and hold the brake pedal for up to 20 seconds before attempting to access module 5. Keep the brake pedal depressed until the module is closed and key adaptation process is complete
[Select]
[05 - Acc/Start Auth.]
[Meas. Blocks - 08]
Select Block 022.
[Go!]
The value in field 3 must be 1. If value is not 1, the key is not capable of being adapted to Immobilizer.
You can check each key in this manner.
This may be displayed as field name KEY OK with possible values of Yes or NO. The field must have a value of YES to proceed.
*Perform this procedure for each of the keys to be programmed
Select Block 023.
[Go!]
Make sure the shown lock times in field 1, 2, 3 and 4 are 0 (each field represents a time in minutes).
If the lock times are greater than 0:
Do NOT switch off the ignition!
Allow the car to sit for AT LEAST the number of minutes that were indicated by the fields 1-4.
CHECK THE VALUES OF BLOCK 23 AFTER THE FINAL KEY ADAPTATION HAS BEEN MADE
[Done, Go Back]
[Sec. Access - 16]
4-digit PIN
Enter zero followed by the 4-digit PIN.
For example, if your PIN is 1234, enter 01234.
7-digit PIN
[Do it!]
Turn the key into ignition position. Key adaptation cannot continue until ignition is on. On automatic transmissions with color display, you must wait until the gear selection indicator is visible on the right side of the cluster display. Dome lights may dim and other relays and modules may also activate at this time. Adaptation will not be successful until these conditions are met. You will have less than 30 seconds to engage the “learning process” before having to restart this procedure. If the gear selection display disappears before the “learning in progress” message appears on the instrument cluster screen, restart procedure.
[Adaptation - 10]
Enter 21 in "Channel Number".
[Read]
The "Stored Value" is the number of keys currently matched.
Enter a "new value" corresponding to the total number of keys to be matched, including any existing keys.
The old keys are automatically being cleared.
[Save]
[Done, Go Back]
[Close Controller, Go Back - 06]
Note: The following steps after saving the adaptation, should not exceed 60 seconds withing matching 2 of the keys and having one key in the ignition should not exceed 30 seconds!
Begin multiple key adaptation with key #2. When “learning in progress” message appears on the cluster display, turn ignition OFF and insert key #1. Turn ignition ON and wait for “imobil. activated” message to appear and disappear. Turn ignition OFF and remove key. Steering lock should engage.
Insert key #2. Turn ignition ON and wait for “imobil. activated” message to appear and disappear. Turn ignition OFF. Steering lock should engage. Then repeat this process for any subsequent keys until no message is displayed on the cluster screen. “learning in progress” should appear between each key adaptation.
IMPORTANT: before removing final key
[05 - Acc/Start Auth.]
[Meas. Blocks - 08]
Select Block 023.
Wait at least the amount of time listed in any of fields 1, 2, 3, or 4
Test each key by starting the vehicle engine and allowing it to idle for at least 10 seconds. There should be NO “imobil. activated” message on the cluster, the engine should remain running, and the steering lock should be disengaged with each key.