Economy, Europe

Volkswagen recall may spur response in 'all EU states'

Volkswagen CEO hints at a 'possibility of a coordinated response in all EU states' following German transport authority's order to recall 8.5M cars in Germany

16.10.2015 - Update : 20.10.2015
Volkswagen recall may spur response in 'all EU states'

ANKARA

After Germany’s Federal Motor Transport Authority (KBA) on Thursday ordered Volkswagen to recall 8.5 million cars, other EU countries may also make a “coordinated response”, the new head of the German car company hinted Friday.

New Volkswagen Chief Executive Officer Matthias Mueller said on Friday in a note published on Bloomberg: “The KBA’s decision opens up the possibility of a common and coordinated response in all European Union states. Such a unified procedure would be in the European spirit as well as in the interests of customers”.

The cars are being recalled after Volkswagen admitted on Sept. 22 that the company had installed illegal software on emissions-control devices in 11 million vehicles worldwide.

Along with Volkswagen, other brands affected by the scandal are SEAT, Audi, Skoda and commercial vehicles.

The German transport authority said in a statement that it had asked the Volkswagen Group to recall a total of approximately 8.5 million vehicles in Europe, including some 2.4 million vehicles in Germany.

National automobile industry authorities from around Europe met in Brussels on Friday with the European Commission to discuss a common policy.

In a statement on Thursday, Volkswagen said: “We welcome the swift decision by the Federal Motor Transport Authority to implement the timetable and plan of measures submitted last week by issuing a recall. This decision gives customers clarity with regard to the continued unrestricted use of the vehicles. Volkswagen will contact customers and inform them directly”.

Other countries are already beginning to take action.

Italian police on Thursday searched the local headquarters of Volkswagen in Verona as part of an ongoing fraud investigation into the German carmaker.

Verona prosecutors also ordered police to search the headquarters of Lamborghini near Bologna. Lamborghini does not use the devices in its cars, but Volkswagen owns the sports car maker.

France has also launched an ongoing fraud investigation on Oct. 5.

And Romania's Minister of Environment Graţiela Gavrilescu, said on Oct. 5 that her country would impose financial penalties on Volkswagen as well as an environmental tax.

In the U.S., the Environmental Protection Agency is considering fines for the German carmaker of up to $18 billion. And a Michigan law firm has filed a class-action suit against Volkswagen. Volkswagen owners from every state have joined in the suit.

Volkswagen is losing market share in Europe since the scandal broke. Its share of the EU car market fell to 23.3 percent in September from 23.6 percent for the same period in the previous year, according to statistics from the European Automobile Manufacturers’ Association.

Volkswagen has also lost the top spot in global auto sales to Toyota in the wake of its admission of deception.   

Anadolu Agency website contains only a portion of the news stories offered to subscribers in the AA News Broadcasting System (HAS), and in summarized form. Please contact us for subscription options.
Related topics
Bu haberi paylaşın