VW Exhaust Emission Scandal tops 11 Million Cars
Published Date: 22nd Sep 2015
- VW have admitted rigging US emission tests on over 11 million vehicles.
- VW Share Price Plunges on news of the scandal
- £4.7Billion set aside to cover cost of Scandal
- “VW Totally screwed up”
Martin Winterkorn issued a sincere apology for rigging US emission tests and went on to say that he was “endlessly sorry” for the Manipulation.
What the Big Players in the Industry Say:
The Department of Transport here in the UK has added its voice to the debate by pushing for an EU-wide investigation into the scandal.
Transport Secretary Patrick McLoughlin announced: "We are closely monitoring the situation and have been pushing for action at a European level for more accurate tests that reflect driving on the road. It's vital that the public has confidence in vehicle emissions tests and I am calling for the European Commission to investigate this issue as a matter of urgency".
"German Chancellor Angela Merkel called for "full transparency" from VW in clearing up the case."The German transport minister is in close contact with the company, VW, and I hope the facts will come to light as soon as possible," she explained to reporters. Earlier, French Finance Minister Michel Sapin also called for an EU inquiry, but a UK car industry spokesman said there was "no evidence" of cheating.
Mike Hawes, chief executive of the UK's Society of Motor Manufacturers and Traders, said the EU operated a "fundamentally different system" from the US, with tests performed in strict conditions and witnessed by a government-appointed independent approval agency.
"There is no evidence that manufacturers cheat the cycle," he said. "Vehicles are removed from the production line randomly and must be standard production models, certified by the relevant authority - the UK body being the Vehicle Certification Agency, which is responsible to the Department for Transport." However, he also described current testing methods as "outdated" and said the car industry wanted an updated emissions test, "more representative of on-road conditions".
The Environmental Protection Agency (EPA) found that software in several diesel cars could deceive regulators. The EPA warned that the fine for each vehicle that did not comply with federal clean air rules would be up to $37,500 (£24,000). With 482,000 cars sold since 2008 involved in the allegations, it means the fines could reach $18bn.
Volkswagen was ordered to recall half a million cars in the US on Friday. Additionally to paying for the recall of all 11 million cars, VW faces fines that could potentially add up to billions of dollars. There is also a chance of criminal charges for VW executives.
Volkswagen shares have plunged more than 20% after US regulators found that some of its cars could manipulate official emissions tests.