Volkswagen Australia halts sale of a few cars amid pollution-testing scandal

I have also called for a Europe-wide investigation into the use of defeat devices, in parallel to the work we are doing in the United Kingdom’.

Here’s just a few of what we have seen since the news broke a couple of weeks ago: VW shares going into freefall; the resignation of company boss Martin Winterkorn; investigations launched by the USA, Germany, Britain, Italy, France, South Korea, Canada, Norway and India.

That is my nine-word summary of Volkswagen’s use of advanced software to cheat USA diesel emissions tests.

Meanwhile, Volkswagen separately said Friday it would cut a second production shift, this time at its auto production site in Puebla, Mexico, amid expectations the emissions scandal will slow sales. Asked whether there was any way, other than asking the manufacturer, for the public to find out if a specific model complies with European Union rules, a spokesman for the KBA said: “I dont think so”. Their marketing efforts over the past several years not only improved consumer opinions about the performance of diesels in the USA, but also sold consumers on the environmental-friendliness of their vehicles.

For a recall to happen, said Maynard, Volkswagen has to first propose a fix, which would need to be approved by the governing bodies in different markets. In addition to drivers now thinking less of Volkswagen, their opinion of the Audi brand, a Volkswagen subsidiary, has also eroded: 29% now say they have a favorable opinion of the brand, compared to 69% prior to the news break.

Volkswagen has confirmed chief financial officer Hans Dieter Poetsch will become board chairman as the automaker faces a scandal over cars that were equipped to cheat on US government emissions tests.

Volkswagen has admitted 11 million vehicles globally are affected but it has not detailed how many of those cars are in Australia; a few local news organisations have estimated there could be between 40,000 and 50,000 Volkswagen, Audi and Skoda vehicles affected in Australia.

They said it would concentrate on the suspicion of fraud committed through the sale of vehicles with manipulated emissions data, and aimed to determine who was responsible.

Volkswagen insists its vehicles are “technically safe and roadworthy”. The device restricted the amount of pollution the vehicle would emit only while it was being tested.

Volkswagen will start to give the details of affected vehicles to retailers “in the coming days” and customers will be contacted.

Maynard said that such a buyback would be very expensive, and wouldn’t likely take place until early 2016.

Furthermore, the ACCC says it can fine VW and Audi $1.1 million per misleading claim on each auto.