A couple of days ago we talked about Volkswagen’s so-called “defeat device” installed on approximately 482,000 cars sold in United States to trick the EPA during the emission tests. Now, the German marque has admitted that in reality the total number of the cars stands at approximately 11 million and all of them have the controversial 2.0-liter Type EA 189 turbodiesel engine.
This figure refers not only to Volkswagen models, but also cars belonging to SEAT, Skoda and Audi sold all over the world while Porsche could also be involved as well. The company has announced plans to fix all of these cars and they have allocated no less than €6.5 billion, but probably most of the amount will be directed towards paying the fines which will come in the near future since Volkswagen did something illegal and deceived its customers as well.
What’s even worse is that representatives of EPA in United States have announced several hours ago they have expanded their investigation on the larger six-cylinder 3.0-liter turbodiesel used in North America by Volkswagen, Audi and Porsche to see whether those cars have the same defeat device for cheating during EPA’s emissions testing.
It’s important to mention that none of the 11 million cars have the Euro 6-compliant version of the engine sold in the European Union as Volkswagen says the motor is ok and doesn’t need the fix.
As expected, these illegal actions had a huge impact on the company’s market value which decreased by €15.6 billion on Monday and chances are Volkswagen will also suffer a sales decline, especially for their cars equipped with turbodiesel engines. They have already stopped selling vehicles with the 2.0 Clean Diesel in United States in order to avoid having to pay an even higher fine. Nevertheless, VW is probably facing the biggest fine in the history of the automotive industry as both North American and European regulators are conducting investigations and will set huge penalties.