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Another minor haircut today...
Interesting article from Yahoo:
VW emission recall could be the most expensive ever - Yahoo Finance
Speculates that VW may end up buying the cars back at 10% over market value. So I'm scratching my head wondering what they are going to do with all the cars?
Article goes on to state that not all states require emissions testing for ongoing vehicle registration. New York and California do. They state that in states that do not require emissions testing, that some customers may opt for not getting the recall work done. So you can't force someone in say Texas to have their car emission system fixed.
Which gets back to the question, what would VW do if they bought back the cars in California and New York that are subject to recall? If the loss from reselling them is much less than the required repair work, they have a big incentive to unload them somewhere. Would then ship them to China and sell them there? Would they ship them to Texas and sell them there? Would people in Red states be waiting with open arms for these cars to arrive from California and New York?
I have to think that the EPA would get involved in some manner at least WRT cars that get re-sold in the US. Maybe there are legalities that would actually allow them to resell in less stringent states. I would think that would raise a s**tstorm of bad publicity if nothing else.
RT
They should crush them like gm did with ev1 !
Here is an excellent article summing up events and real risks to VW's possible demise. A mucky business | The Economist
It's telling that no other big diesel producers are coming out saying: "Go ahead test our cars, we're proud to say we have never done anything like this".
It's telling that no other big diesel producers are coming out saying: "Go ahead test our cars, we're proud to say we have never done anything like this".
That's apples to oranges though. They are using more rigorous test standards, not the same ones. The VW issue is that when the car is run on the road under similar driving conditions as the test, the car emits far higher emissions. The fact that the test is not strict enough compared to real world driving is not the main issue in VW's case.Looks like it is spreading:
Wide range of cars emit more pollution in realistic driving tests, data shows | Environment | The Guardian
Diesel cars made by Renault, Nissan, Hyundai, Citroen, Fiat and Volvo among others emitted far more NOx in more rigorous tests, research shows
Article in The Guardian today cites ADAC (European auto club) testing a wide range of vehichles from Renault, Nissan, Hyundai, Citroen, Fiat and Volvo among others emitted far more NOx in more rigorous tests.
Research compiled by Adac, Europe’s largest motoring organisation, shows that some of the diesel cars it examined released over 10 times more NOx than revealed by existing EU tests, using an alternative standard due to be introduced later this decade.
Reinhard Kolke, head of test and technical affairs at Adac’s state-of-the-art test centre in Bavaria, told the Guardian: “If all cars complied with [the official EU NOx limit], we would have solved all the worst health effects. Every consumer has the right to expect all manufacturers to do this. But still there are these gross emitters.”
A recent T&E round-up of evidence found this affected nine out of 10 new diesel cars, which were on average seven times more polluting in the real world. But the Adac data are the first detailed list of specific makes and models affected.
Read the article (and weep).
All of the companies in the ADAC study say they don't manipulate or deceive the tests. The point of the article is that you can follow "the letter of the tests" and still make a car that spews more pollution than the regulations when the car is driven in real world conditions. It's a failure of the tests, the regulation, and governance which allows the auto companies to "lobby" (bribe) politicians.Links to the BMW statement and the Daimler statement. Both seem unequivocal to me. At this point it would see foolish for a company to try and maintain the subterfuge, but then the original VW plan seems pretty stupid to me, so what do I know?