VW Sets Aside $7.3 Billion to Pay for Emissions Crisis

22 Sep 2015 | Author: | No comments yet »

Can VW Win Back Trust After Admitting Diesel Dupes?.

Michael Horn, the head of the Volkswagen brand in the U.S was profusely apologetic for the diesel-emissions cheating scandal that emerged on Friday and vowed to win back the trust of the U.S. consumer.

The US Environmental Protection Agency (EPA) said on Friday that Volkswagen had installed illegal software to cheat emission tests, allowing its diesel cars to produce up to 40 times more pollution than allowed.The US chief executive of Volkswagen has said the company has “totally screwed up” over the emissions scandal that has rocked the automotive industry. The world’s second-biggest carmaker could face a fine of up to $18bn (£11.6bn), criminal charges for its executives, and legal action from customers and shareholders due to US claims it used a defeat device to falsify emissions data.

The device recognises when the car is being tested and immediately cuts emissions to a level that is much lower than normal and unsustainable under usual driving conditions. What we are dealing with is making sure people avoid being poisoned by pollution.” South Korea said on Tuesday it would investigate emissions of the VW Jetta and Gold models plus Audi A3 cars produced in 2014 and 2015.

If problems are found, South Korea’s environment ministry said its inquiry could be expanded to all German diesel imports, which have surged in popularity in recent years in a market long dominated by local producers such as Hyundai. The House energy and commerce committee chairman, Fred Upton, and the oversight and investigations subcommittee chairman, Tim Murphy, announced that the oversight and investigations subcommittee will hold a hearing. Horn, speaking at an event to launch a new version of the Passat sedan, which featured rock star Lenny Kravitz, said: “Our company was dishonest with the EPA, and the California air resources board and with all of you, and in my German words: we have totally screwed up. “We must fix the cars to prevent this from ever happening again and we have to make this right. Stuart Pearson, an analyst at the stockbroker Exane BNP Paribas, told the FT: “The artificial gaming of emissions tests threatens to become the car industry’s Libor” – referring to the fraudulent fixing of global interest rates that has cost the banking world billions. One of the officials involved in uncovering the alleged behaviour has told the Guardian that the emissions-fixing scandal could extend to other companies and countries.

Billions of pounds have been wiped off the value of global carmakers amid growing concerns that emissions tests may have been rigged across the industry. “We need to ask the question, is this happening in other countries and is this happening at other manufacturers? We will cooperate fully with the responsible agencies, with transparency and urgency, to clearly, openly, and completely establish all of the facts of this case. Volkswagen has ordered an external investigation of this matter.” The revelations have prompted a series of investigations that bode ill for Volkswagen and the industry.

A British expert in low-emission vehicles claimed the manipulation of air pollution data could be widespread and that tests in Europe are “much more open to this sort of abuse”. All credit to the EPA for investigating and finding the truth.” Archer, the former managing director of the UK’s Low Carbon Vehicle Partnership and non-executive director for the government’s Renewable Fuels Agency, said the scandal could spread into petrol cars and CO2 levels. “It is probably not limited to diesel and not limited to emissions,” he added.

Here you can write a commentary on the recording "VW Sets Aside $7.3 Billion to Pay for Emissions Crisis".

* Required fields
Twitter-news
Our partners
Follow us
Contact us
Our contacts

dima911@gmail.com

ICQ: 423360519

About this site