Volkswagen, the scandal widens: 11 million vehicles rigged aside 6.5 billion – The Republic

Milan – There are 11 million cars Volkswagen rigged around the world. A huge figure, higher than a year registrations of the Wolfsburg, who is preparing to set aside 6.5 billion euro in the third quarter to meet expenses related to the scandal of emissions, ranging from fines to possible recalls of cars. The indications coming from the same company, which “is working as quickly as possible to clear up irregularities related specific software used with diesel engines. We do not tolerate violation of the laws in any way: all vehicles Euro 6 and above are under “(the official statement and the accusations of the US).

And to shed new light on the scandal that is sweeping the German company, the revelation of Die Welt that – citing a parliamentary question last July – reconstructs how the German government He knew that some brands were using software to circumvent controls on emissions. But in that case were not made names, there was no talk of brands or specific models.

Meanwhile, as a result of these unexpected costs, Volkswagen will be forced to revise earnings estimates for 2015; words that sound threatening to investors, who come back to punish the title with strong sales after the collapse of Monday, which has eroded nearly 15 billion euro of capitalization (the dreaded penalty is 18 billion dollars). The CEO Martin Wikterkorn, according to the German press, could be made out by the weekend. The news, however, was denied. At the same, in a video message, he apologized for “misconduct”, promised “maximum openness and transparency” and asked “confidence to go forward”: “It would be wrong if the terrible mistake of compromise within the honest work of 600,000 people “.

The storm shows no sign therefore to wane after the United States, new troubles are envisaged for the German in the US accused of cheating on pollutant emissions of its diesel engine. Bernard Sapin , French Minister of Finance said that “serves an EU investigation” on the home of Wolfsburg. To “reassure the public” he said speaking at the Radio Europe1 , will be “necessary” to conduct checks on other European manufacturers. The transalpine government and the Ministry of Transport in Berlin have already announced they will hold an investigation, while the counterpart ministry in Italy opens investigation, expressed concern and asked if the device discovered in the US is also present in Europe, or in the car accused have been sold in the beautiful country. Environment Minister, Gian Luca Galletti , calls for consideration to stop selling cars in Italy here was used the software indicted. Chancellor Merkel can not at this point refrain from asking for “clarity” and “full transparency on the case.”

From Brussels take time but raise their guard . “We will go all the way”, has said the EU Commission, and again: “It ‘s too early to say whether any necessary measure specific monitoring in Europe and if Volkswagen vehicles sold in Europe have the same flaw. We are still examining the issue very seriously. We are in contact with the company and the US Agency for the Environment (EPA), “he annucniato Lucia Caudet, spokesman for Internal Market. Who added: “For the sake of our consumers and the environment, we need to have the certainty that the industry complies strictly limits on car emissions’.

The double collapse title Volkswagen: between yesterday and today has lost a third of the value after a month stability

are not the only reason to fear for the German giant, which sees seriously undermined his unstoppable run towards the world leadership of the four wheels (up to now in the hands of Toyota but already the details of the first half showed the overtaking of VW). The Korean government has convened the leaders of the local Volkswagen: “We have invited representatives and engineers of Volkswagen for a meeting at the ministry in the afternoon,” said Vice Minister Pan-Kyu Park. “We will begin to carry out checks at the latest in October and will announce the results at the end of November.” The models are the same under the lens of the US: the Volkswagen Jetta, Golf and Audi A3 sedan AG.

The fall of the myth

This is a bad news for new plans high house car, since sales in Asia now cover 40% of the deliveries of VW, with China to act as the main market and of course a land of conquest for the future. If you look at South Korea alone, more than 90% of 25 thousand vehicles sold are diesel: just the kind of engine come under investigation. Analysts expect that of course, in the Asian country, Hyundai can benefit from the blow to the image of Vw and withdrawals by car.

But the headaches do not end there, because in Australia the Department of the Government that It manages environmental audits requested the Volkswagen if the vehicles sold in the country are equipped with the software ‘owl’ discovered in the United States. Outside Korea and Australia, “the concerns are more about how this incident will impact on the reputation in Europe, which is by far the most important market for them, especially for diesel,” sums up the analyst of Macquarie Janet Lewis Bloomberg . But since I try to gain market share in the US now gets more and more difficult, if VW wants to become the first manufacturer by 2018 – according to plans – must return to depend on China and Asia.

Meanwhile, the story Use evolved: the US Department of Justice is conducting criminal investigation on the behavior of the Wolfsburg, who has cheated on tests regarding federal emissions of nitrogen dioxide than some of its diesel engines. Yesterday, the stock has lost almost $ 15 billion of value: what the maximum fine that the Agency for Environmental Protection (the body which has accused Volkswagen) may impose: the company faces a financial penalty equal to $ 37,500 per car , more than 18 billion in all. Market concerns are that the scandal can expand like wildfire to other houses, and Fca point out that the group does not use devices “manipulators” and works closely and continuously with the EPA for compliance with the rules on emissions . The head of Volkswagen in the United States was the first to publicly come out in the open: in what should have been an event presenting the Passat with Lenny Kravitz. Without accommodate journalists’ questions, he repeated the apology to US authorities and consumers: “This type of behavior is not at all in line with our quality.”