more major carmakers caught in headlights
Last Updated : GMT 12:42:59
Arab Today, arab today
Arab Today, arab today

Of VW engine-rigging scandal

More major carmakers caught in headlights

Arab Today, arab today

Arab Today, arab today More major carmakers caught in headlights

Volkswagen has admitted it installed illegal software into 11m
Frankfurt - Arab Today

Major names in the auto industry found themselves caught in headlights of a global engine-rigging scandal on Friday as the Volkswagen supervisory board totted up the costs for the embattled German car giant.

As VW's supervisory board met to approve the carmaker's 2015 accounts, newspaper reports suggested the group may set aside more than 16 billion euros ($18 billion) in provisions to cover possible regulatory fines, lawsuits and the cost of recalling or replacing the suspect engines.

VW was already forced to postpone publication of its full-year results in the wake of the scandal that erupted in September, when it came to light the German group had installed so-called "defeat devices" into 11 million diesel engines worldwide.

This sophisticated software deliberately skews emissions readings when vehicles are undergoing tests.

Any news from Wolfsburg, where Volkswagen is headquartered, is expected to cap a dramatic week for the global automobile sector, where two other big names -- Daimler and Mitsubishi -- similarly found themselves accused of possibly cheating on engine readings.

Late on Thursday, Daimler -- owner of Mercedes-Benz -- announced that it was launching an internal investigation, "into its certification process related to exhaust emissions in the United States upon the request of the US Department of Justice (DOJ)."
Daimler insisted it was "cooperating fully with the authorities."

"Daimler will consequently investigate possible indications of irregularities and of course take all necessary actions," it said in a short statement, which sent its shares into a tailspin on the Frankfurt stock exchange on Friday.

And in Asia, Mitsubishi Motors suffered a disastrous week that has seen its shares plunge more than 40 percent after its shock admission that it also cheated, on fuel-efficiency tests.

The transport ministry sent officials to raid a company research and development centre for a second day on Friday, a ministry official told AFP.

Mitsubishi said it would halt production and sales of the affected models -- mini-cars sold in Japan including many made for rival Nissan -- and warned that the number would likely rise, as it looks to vehicles sold overseas.

And on Thursday, France's biggest automaker PSA Group said its premises had been raided by the country's anti-fraud squad as part of a government probe into emissions after "anomalies" were found in three vehicles.

- VW reaches deal in US -
For its part, VW reached an agreement with US regulators to offer US owners of some 480,000 illegally polluting diesel cars options of "substantial compensation" and to fix the cars, or to buy them back.

The German giant had faced a court deadline for solutions to the emissions scandal and San Francisco district court judge Charles Breyer said the agreement in principle would give owners of its 2.0 liter diesel cars choices for compensation which also included cancelling the contracts for those under lease.

The offer, which will likely cost Volkswagen billions of dollars, also included creation of a fund for environmental protection, the company said at a court hearing.

Details of the proposal between Volkswagen USA, the Department of Justice and the Environmental Protection Agency were not immediately released.

But it appeared to be enough to allow Volkswagen to avert a huge trial over how it would deal with the scandal that has already deeply damaged the company.

The so-called "dieselgate" scandal led to the departure of VW's chief executive Martin Winterkorn has already set aside six billion euros in provisions, but the final sum is expected to be much higher.
The German giant, which has abandoned its ambitions of becoming the world's biggest carmaker ahead of Toyota in the wake of the scandal, has already started recalling some eight million vehicles affected in Europe.

The scandal has greatly tarnished the reputation of a company once regarded as a paragon of German industry, even if group unit sales already seem to have stabilised.

The recall operation in Europe is expected to take all year. And while VW is footing the bill, it is not expecting to have to pay European owners compensation, much to the chagrin of consumer protection groups.

It was the US Environmental Protection Agency (EPA) and the California Air Resources Board (CARB) that originally broke the scandal.

And negotiations with the US authorities have proven much tougher than in Europe.

Another bone of contention in Germany recently has been the question whether VW's top executives should be entitled to their normally very generous annual bonuses in the wake of the scandal.
Source: AFP

arabstoday
arabstoday

GMT 10:35 2016 Tuesday ,27 December

European stocks edge higher

GMT 11:00 2016 Tuesday ,20 September

After Monsanto takeover deal

GMT 10:54 2016 Friday ,16 September

Deutsche Bank shares plunge 8%

GMT 10:54 2016 Tuesday ,23 August

VW reaches deal with suppliers

GMT 10:48 2016 Monday ,22 August

VW cuts 28,000 workers' hours
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

more major carmakers caught in headlights more major carmakers caught in headlights

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

more major carmakers caught in headlights more major carmakers caught in headlights

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Visit Jamaica for more than just sun

GMT 09:45 2017 Tuesday ,21 November

Visit Jamaica for more than just sun
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today UN warns of conflict in Gaza

GMT 08:39 2017 Tuesday ,21 November

UN warns of conflict in Gaza
Arab Today, arab today Missouri problem mirrors woes

GMT 06:46 2017 Tuesday ,21 November

Missouri problem mirrors woes
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today VW says will invest over 34bn euros

GMT 07:19 2017 Tuesday ,21 November

VW says will invest over 34bn euros
Arab Today, arab today Driverless, electric future just round

GMT 02:45 2017 Monday ,20 November

Driverless, electric future just round
Arab Today, arab today Fedra happy for “Between Two Worlds” success

GMT 09:23 2017 Saturday ,18 November

Fedra happy for “Between Two Worlds” success
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 12:15 2017 Friday ,17 November

Mona Abdel Ghany increased artistic activities

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 02:28 2017 Saturday ,18 November

Anti-drug operation nets 4 tonnes

GMT 03:12 2017 Saturday ,18 November

Prince's vision spurs new Cornwall village

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday