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VW Boss Says He’s Focused on Fix, Not Cost, of Diesel Scandal

“Most important task” is solving diesel problem in U.S. says brand CEO Diess.

by on Jan.06, 2016

VW Brand Boss Herbert Diess offers a mea culpa during a keynote speech at CES.

A day after his company was sued by the U.S. Department of Justice, Volkswagen brand boss Herbert Diess told an audience at the Consumer Electronics Show that “Our most important task in 2016 is to solve the diesel issue in the U.S.”

The federal suit follows revelations that the German maker had cheated on emissions tests involving both its 2.0 and 3.0-liter diesel engines, a problem that could result in more than $20 billion in fines. Government officials said they were frustrated by the slow process of finding a fix for the problem.

Keeping the Record Straight!

But Diess told reporters attending a preview of several battery-powered concept vehicles that “I assure you we are doing everything we can to make things right.” The executive added that he “is confident we will win their approval (for a fix) in the coming weeks and months.”

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Volkswagen Reverses Course, Acknowledges Additional Cheating

German maker confirms EPA charges involving 75,000 new VW, Audi and Porsche models.

by on Nov.20, 2015

VW now admits it cheated on Porsche and Audi vehicles using a 3.0-liter diesel engine.

After initially denying charges leveled by the U.S. Environmental Protection Agency, Volkswagen told regulators today that the company did, indeed, also cheat on emissions tests involving a second turbodiesel engine.

The concession covers an additional 75,000 vehicles using a 3.0-liter turbodiesel, on top of the 482,000 vehicles equipped with a 2.0-liter diesel called out by the EPA in mid-September for using a so-called “defeat device.” The latest problem involves products sold by both the VW and Audi brands and, for the first time, the Porsche marque, as well.

Breaking News!

In the case of the 2.0-liter diesels first cited by the EPA for cheating in September, VW used hidden software code capable of detecting when the vehicles were undergoing emissions tests. With the 3.0-liter system, the diesel engines were improperly fitted with what a spokesman called auxiliary emissions controls.

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VW, Audi Officials Apologize, Try to Look Beyond Diesel Scandal at LA Show

VW meeting with EPA; gift cards going out to 120,000 TDI owners.

by on Nov.19, 2015

VW CEO Michael Horn was surrounded by reporters after the maker's LA news conference. Photo courtesy Michael Rose.

Volkswagen will have a solution “soon” for owners of diesel models tainted by an emissions rigging scandal, the company’s U.S. chief executive said during a news conference at the Los Angeles Auto Show. In the meantime, noted Michael Horn, a “goodwill package” including $1,000 in gift cards and dealership credits are about to head out to 120,000 of those consumers.

The ongoing scandal dominated the events scheduled for both Volkswagen and its upscale sibling, the Audi brand, during the L.A. show, and officials from both marques again apologized before trying to turn back to their plans for the future.

Breaking News!

Industry analysts have suggested that Volkswagen is already feeling the impact of the diesel rigging crisis which impacts 482,000 vehicles sold in the U.S., but the Audi brand, which only has one model impacted, has largely been unscathed, Audi of America President Scott Keogh telling reporters, “We’ll have a record November and a record December.”

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VW Planning to Cut US Diesel Line-Up

Embattled German maker could face problems with planned recall.

by on Oct.08, 2015

VWoA CEO Michael Horn, shown with the CrossCoupe Concept, will testify before Congress.

It is, by far, the largest seller of diesel passenger cars on the American market, but in the wake of its embarrassing and costly emissions scandal, Volkswagen is planning to cut back the number of diesel products it will offer in the U.S. – at least for the coming year.

The decision to withdraw a request for regulators to certify some of its new models comes at the same time VW is working with the EPA to develop a fix for 482,000 diesels already sold in the States that were equipped with software designed to cheat on emissions tests. In real-world use, they may produce as much as 40 times the legal limit of pollutants such as smog-causing oxides of nitrogen.

Stay in the Know!

VW’s new CEO Matthias Mueller said this week the automaker plans to begin repairing the 11 million small diesels it sold worldwide with so-called “defeat device” software starting in January. But the U.S. recall could take longer to start. And there is concern that many current owners simply may refuse to get their vehicles repaired.

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VW Diesel Emissions Cheating Scandal Heading to Congress

EPA prepares for “likely” recall.

by on Oct.02, 2015

The EPA has yet to order a formal recall of VW diesels, like this one, but that could happen soon.

Two weeks after revealing that Volkswagen had cheated on diesel emissions tests, officials from the Environmental Protection Agency still have not formally ordered a recall of 482,000 VW products, but that step is “likely” to take place, according to an EPA spokesperson.

Sources inside Volkswagen, meanwhile, told TheDetroitBureau.com that the automaker is now working with the federal agency to come up with an acceptable fix for diesel models that can produce as much as 40 times the allow level of pollutants such as smog-causing NOx. VW has already said it is developing a retrofit for a total of 11 million diesel vehicles sold worldwide that contained a secret “defeat device” designed to reduce emissions levels during testing.

The Full Story!

VW’s problems have continued to escalate in recent days, and even as prosecutors in both the U.S. and Germany look into the scandal, the automaker’s top U.S. executive has been summoned to Capitol Hill where he will testify before a congressional oversight panel on October 8th.

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VW’s Reputation Takes Big Hit from Scandal, Finances Likely to Follow

Only one in 4 Americans now have positive image of maker, finds survey.

by on Oct.01, 2015

Looking a little tarnished?

Volkswagen’s once strongly positive image among American consumers has collapsed in the wake of revelations the German automaker cheated on diesel emissions tests.

The fact that the vast majority of potential buyers now do not trust the brand could have a major impact on its sales, warn researchers at AutoPacific, Inc, the consulting firm that conducted the survey. While it is too early to measure that impact, VW has already announced the first cuts in its worldwide production network, and the company’s supervisory board is now looking for ways to shore up its finances.

Stay in the Know!

“How Volkswagen handles this issue is critical,” said Dan Hall, a vice president at AutoPacific. “Trust is an important issue with consumers, and every brand works hard to maintain that trust.”

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VW Fix for Diesel Cheat May Take Longer to Reach U.S.

CEO promises plan “in the next few days” – but not for US owners.

by on Sep.29, 2015

About 11 million vehicles sold worldwide used the software cheat. Fixing those sold in the U.S. is likely to be the most difficult part.

(This story updates an early report on TheDetroitBureau.com)

Volkswagen’s promise to deliver a fix for its rigged diesel engine “in the next few days” refers to vehicles sold in Europe and other foreign markets, not the U.S., according to a company source.

The “retrofit” that VW expects will bring the vehicles into compliance with government pollution standards was announced Tuesday in Berlin by the company’s new CEO, Matthias Mueller, who said customers would be contacted “in the next few days” with details.

The Full Story!

But a company source, who spoke on condition of anonymity with TheDetroitBureau.com later in the day, said the promise only refers to VW diesels sold in Europe and some other foreign markets, not the U.S., where the fix will be more complicated.

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