Volkswagen recalls 2.6 mil units due to electronic, drive-system defects

Article by Anita Panait, on November 16, 2013

Volkswagen Group is recalling around 2.6 million vehicles around the world over glitches in electronic and drive-systems. Michael Franke, a spokesman for Volkswagen, said the carmaker wants to replace the synthetic oil in dual-clutch gearboxes on 1.6 million cars and vans with mineral oil.

The lubricant replacement in seven-speed dual-clutch transmission is intended to prevent electric malfunctions. In another statement, the carmaker said that around 800,000 Tiguan compact SUVs may bear lighting defects and 239,000 Amarok pickups may have fuel leaks.

The recalls this month initiated by Volkswagen, Chrysler Group, Toyota Motor Corp. and Mitsubishi Motors Corp. underscore the downside of adding more sophisticated technology to new vehicles.

In 2012, Nissan Motor Co. tapped the senior auto reviewer for Consumer Reports magazine to become its executive adviser on vehicle quality, citing the need to "keep pace with" product complexity. Frank Schwope, a Hanover, an analyst at Nord LB, told Bloomberg that issues with glitches on complex systems is not a problem limited to VW, but is also happening to mass-market carmakers.

He said that costs of dealing with those issues will likely be in the high double-digit or even triple-digit million euro range.  He said that while the costs might be partly shared by suppliers involved, they might render VW unable to reach its full-year earnings target. The recall will cover vehicles from brands like Volkswagen, Audi, Skoda and Seat, and involves 640,309 cars in China.

Topics: vw, recall

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