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It has only been a few days since Oliver Schmidt, former Volkswagen executive, was handed a maximum possible sentence by US District Judge Sean Cox. He will have to spend seven years in prison and pay a fine of $400,000. And on December 8, Volkswagen has again been put on the spot. The German automaker urgently had to stop their sales of the T6 Multivan in Germany because it was discovered that the van emits way more nitrogen oxide than what is allowed by local emissions limits.
Der Spiegel magazine said that the findings have already been reported to the KBA, Germany’s motor transport authority. This had been quoted by Automotive News.
What happened is that Volkswagen set the “adjustment factor” too low when they submitted documents to the KBA to have the T6 Multivan’s sales approved, says the German publication. To defend their name, a Volkswagen spokesperson from the commercial vehicle division said that incorrect engine management software is ruled out as a possible reason for these uncertainties.Read the entire article VW T6 Multivan sales are halted in Germany due to high nitrogen oxide emissions
After its debut at the 2017 Geneva Motor Show, Volkswagen is now taking orders for the Arteon in Germany---where price starts at 49,325 euros. In this case, the new five-seater coupe comes out more expensive than Passat’s Highline trim level with the same 280hp 2.0-liter TSI engine. What makes Arteon more special though is that it exudes a certain character of the Sport Coupe Concept GTE that was showcased in Geneva in the last couple of years.
For one, Volkswagen wishes to place the new Arteon in the same league as that of BMW’s 4-Series Grand Coupe. Standing at 56.2 inches tall with width up to 73.7 inches and 191.4 inches in length, the Arteon basically replaces the former Volkswagen Passat CC. Because of this, the Arteon now features a sleeker body style, a superior legroom and longer wheelbase with up to 563-liter space at the trunk. When the seats are completely folded, the cargo capacity boasts up to 1,557-liters.
Among its other features are Volkswagen’s latest 9.2inches infotainment system with gesture control, head-up display and all-digital instrument cluster. There is also the standard 6.5-inch display infotainment screen available for customers who are not into Discover Pro’s gesture control setup. The Arteon has also been equipped with the latest driver assistance technology including the new generation self-steering emergency assist as well as the new adaptive cruise control.Read the entire article 2018 VW Arteon priced from €49,325 in Germany
An open secret. That was how Volkswagen's internal investigation described the carmaker's development of software that could cheat diesel emissions tests, according to a report from Sueddeutsche Zeitung newspaper.
According to the daily, a number of managers and employees dealing with emissions issues in the engine department have knowledge or involvement in the development of the so-called the "defeat devices." Sueddeutsche Zeitung, along with regional broadcasters NDR and WDR, conducted a research into the matter.
The paper reported that there was a culture of collective secrecy prevailing within the engine department, where the matter was openly discussed as early as 2006. However, a number of individuals took exception. For instance, a whistleblower who was involved in the fraud alerted a senior manager outside the engine department in 2011, but the latter did not make any action.Read the entire article Emission-masking software is open secret at VW engine department, says German report
Volkswagen has reiterated that it only discovered that its carbon dioxide emission labels were incorrect as part of its efforts to resolve the diesel emissions scandal that rocked the auto world in September. Earlier this month, VW said it understated carbon dioxide emission and fuel consumption figures of around 800,000 cars marketed mainly in Europe.
But a report from a local newspaper said otherwise. According to Bild am Sonntag, without disclosing its sources, top executives at the German carmaker had knowledge of some incorrect labels, which indicated lower carbon dioxide emission and fuel consumption levels than actual.
The paper, citing people close to former VW chief executive Martin Winterkorn, reported that months after knowing of the overstated fuel usage labels, he only decided to withdraw one model -- the Polo TDI BlueMotion – from the market since the difference between the figures on the label and the actual fuel consumption was pretty obvious.Read the entire article Top VW execs knew of inflated mileage rates since 2014, says German paper Bill am Sonntag
Volkswagen has quietly introduced the Street Up, a special version of its popular city car designed for those feeling special. The first things you notice when looking at this special edition of the Volkswagen Up are the ‘street’ lettering on the doors, the special yellow graphics found above the side sills as well as the gray and yellow stripes that run from the front hood to the roof.
According to the official press release, this new edition arrives with 16-inch ‘upsilon’ alloy wheels, chrome-finished fog lamps as well as with a sport suspension that improves the handling. Inside, the vehicle features special seats that continue the exterior theme thanks to the colored stitching.
Same stitching is found on the floor mats, gear knob and handbrake lever. In addition, the Street Up gets the “Black Style” design package that arrives with black headliner and tinted side windows. As standard, this edition comes with the RCD 215 radio and air conditioning.Read the entire article VW introduces the Street Up Edition in Germany
Volkswagen will be paying its 100,000 workers in Germany a bonus of EUR6,200 ($8,500) each, which is EUR1,000 less than 2012 and EUR1,300 less than 2011.
The lower bonus comes as the carmaker’s namesake brand posted lower sales and profit in Europe, caused by the still slumping demand for vehicles in the region. The brand posted a 3.9-percent drop in sales in western Europe in 2013 to 811,800. Volkswagen distributes 10 percent of operating profit at the brand to workers as bonuses.
VW works council chief Bernd Osterloh said in a statement that the tougher market situation has a direct effect on the size of the bonus for the workers.Read the entire article VW to pay EUR6,200 in bonuses to its German workers, 1,000 euros lower than in 2012
The German government is aiming to have a million electric vehicles on its roads by 2020 – something that can be achieved if partly battery-powered units like hybrids are taken into account, according to Volkswagen Group chief executive Martin Winterkorn. He assured that the carmaker would make its contribution toward this goal.
Winterkorn said that plug-in hybrids – which could shift running power from between a battery power and a conventional engine -- "offer the biggest market potential," and should help with a rollout of electric mobility on a larger scale. VW Group’s CEO said the carmaker still plans to offer up to 40 electric or hybrid models in case the demand for low-emission vehicles soars.
The carmaker plans to build 14 vehicles with alternative drivetrains through 2014 after introducing electric versions of the Golf hatchback and Up minicar at the Frankfurt auto show in September. The carmaker also exhibited new plug-in hybrid versions of the Porsche Panamera coupe and the Audi A3 compact.Read the entire article VW says goal for 1 million EVs on German roads by 2020 is achievable
Germany has complied with a ruling of the European Court of Justice (ECJ) over a law that gives state of Lower Saxony veto powers over Volkswagen, Advocate General Nils Wahl said in a written opinion on the case. According to Wahl, ECJ should reject an argument of the European Commission that insists on having Germany fined for infringing European Union rules.
Wahl agreed with Germany that it had complied with the terms of the ruling passed in 2007 and had already made the required overhaul of the VW law. ECJ judges will hand down their ruling on the case in the next few months. While Wahl's opinion is not binding, ECJ judges usually follow such opinions in majority of cases.
The case revolves around the "Volkswagen Law," which was enacted in 1960 and serves as a prevention against hostile takeovers. The law – which full title is "Gesetz uber die Uberführung der Anteilsrechte an der Volkswagenwerk Gesellschaft mit beschrankter Haftung in private Hand", or just "VW-Gesetz" – essentially regulates the privatization of Volkswagenwerk GmbH into Volkswagen AG.Read the entire article ECJ told Germany has complied with 2007 ruling on VW law
Volkswagen has signed an agreement to increase the wages of its German workers by 5.7 percent over 20 months. VW said in a statement that it is bound to increase base pay by 3.4 percent by September 1, 2013, and another 2.2 percent by July 1, 2014. The terms of the contract are in line with an industry-wide pay hike that the IG Metall union grabbed in mid-May 2013 for around 770,000 manufacturing workers in the state of Bavaria.
The same agreement is being used in other parts of Germany as a model for labor agreements. The VW accord was negotiated separately from IG Metall's regional labor deal and covers around 102,000 workers at six sites in western Germany and the financial services unit. Volkswagen currently employs around 249,000 workers in Germany and less than 550,000 people around the world.
According to the Federal Statistics Office, the German economy posted only 0.1-percent growth in the first quarter of 2013. The Eurozone economy, meanwhile, is expected to shrink for the second year in a row in 2013.Read the entire article Volkswagen to raise German wages by 5.7% over 20 months
Because of the declining European market, Volkswagen is planning to have more temporary suspensions in Passat production in Germany in the upcoming weeks. VW said that it will stop the assembly lines at the Emden plant on February 8, February 15, February 22 and March 1.
VW spokesman Georg Goericke said the company will continue to closely monitor the market situation in Europe. He declined to say if the automaker was preparing for another series of interruptions in March and April.
VW produces around 1,200 units a day at Emden, where workers build the Passat sedan, the Passat wagon and the CC coupe. VW has already stopped the output there from December 17 to 21, 2012.Read the entire article Vw planning to suspend Passat production in Germany in the upcoming weeks
Even if the demand in Europe for cars has plunged, record sales are likely to be posted by BMW, Volkswagen Group and Mercedes-Benz. The automakers can credit part of this success to Deutsche Telekom AG, which is the largest phone company in Germany. The company has about 38,000 vehicles in its domestic country, which means that there’s one vehicle for every two employees.
Deutsche Telecom is one of several corporate car buyers that took advantage of tax breaks that have supported the auto market. KBA, the motor vehicle office in the country, said that with the weakening of private demand, cars purchased by companies to be used by employees made up for 32% of German auto sales last year. This is about 27% higher than in 2010.
Due to the demand from corporate fleets, sales in Europe's largest auto market were kept relatively steady, falling 2.9% last year even if the demand in Europe fell to its lowest level in nearly two decades.Read the entire article Bmw, Vw and Mercedes-Benz see record sales in Germany from strong company-car market
The Passat product lineup continues to expand with a completely independent range of equipment to offer the new Volkswagen Passat R-Line. This sporty model comes with a starting price of 30,225 Euros in Germany. The model has a newly designed side skirts and bumper that are set in the R-sporty styling accents.
The large cooling air inlet has the R-Line logo in the grille and incorporated fog lamps. The back of this new Passat R-Line is in the diffuser, which is dominated in "Gloss Black" color. Other features of the vehicle include the dynamically tuned sports suspension, which lowers the ride height by 15 millimeters and the 17-inch titanium silver alloy wheels with 235 mobility tires.
Customers can have 18-inch wheels as an option. In the interior, the Passat R-Line features sports seats in "Kyalami" design as well as the decorative "titanium silver" accents on the dashboard, center console and door panels for added sporty appeal. The steering wheel is clad in sports leather. Moreover, the interior also showcases pedals with stainless steel elements as well as front door sill plates with R-Line logo.Read the entire article VW launches Passat R-Line in Germany with starting price of 30,225 Euros
Ford Motor Co.’s image and pricing in Germany need a boost if it wants to command more respect and expect to raise sales there. According to Stefanie Weiland, a car buyer and former owner of a Ford vehicle, Ford has a “deplorable” reputation. She is looking for a new car at the VW dealership, saying that its cars are “unbreakable.”
Ford Chief Executive Officer Alan Mulally wants to achieve in Germany what he was able to do in the United States, which is to sell more vehicles by playing up fuel economy and technology such as voice-activated stereos.
Ford admits that its retail prices fell behind the German carmaker by an average of 6.3 percent in the last eight months. J.D. Power & Associates said that when it comes to sales, Ford is ranked No. 5 and its vehicles make up 7.5 percent of the German market. Meanwhile, Volkswagen has a share of around 20.8 percent.Read the entire article Ford wants to boost its image and pricing in Germany, will take on Vw
To mark another milestone in the bid of Volkswagen AG for global dominance, the company is set to make an offer for truck manufacturer MAN SE in the coming days. This is one of the offers in a series of plans for the company to become the No. 1 vehicle manufacturer in the world by 2018, outperforming Japan-based Toyota Motor Corp.
During the early parts of this month, the company has opened a $1 billion assembly plant in the United States. It has also been venturing in China, which is the biggest vehicle market in the world.
On the other hand, the alliance with Japan-based Suzuki has yet to progress. Moreover, the company is still working on a merger with Porsche. In addition, chairman Ferdinand Piech is eyeing Alfa Romeo of Fiat S.p.A.Read the entire article Volkswagen makes an offer for truck manufacturer MAN SE
German unions turned down Volkswagen AG’s offer, which would raise the salaries of the workers by 2.9 percent over the next two years and give them a one-time payment of EUR300 before the end of June 2011.
Under the offer, not only would the 100,000 western German workers at VW receive about half of the sum they want, their pay would effectively be frozen for the second year of the contract.
Hartmut Meine, IG Metall’s chief negotiator, recently said that the difference between demand and offer is much too big and the length of the deal has to be shorter and the proposed pay hike higher.Read the entire article German unions rejected VW pay offer
A Stuttgart, Germany, district court divulged that the first lawsuit in Germany against Porsche Automobil Holding SE related to the sale of Volkswagen AG stock options in 2008 has been filed by an unidentified plaintiff, who is represented by Christoph von Arnim.
A court spokesman said that in the new lawsuit filed by Berlin-based law firm FPS Rechtsanwaelte & Notare, the plaintiffs want its EUR3.1 million ($4 million) loss compensated by Porsche and the German unit of Canadian lender Maple Bank.
These lawsuits represent a significant concern for Porsche's planned merger with Volkswagen, scheduled for 2011, since U.S. hedge funds sued the company for billions, putting the deal at risk.Read the entire article Porsche faces German lawsuit related to the sale of Vw stock options in 2008
As Volkswagen AG and the IG Metall labor union meet for the first set of wage negotiations, Europe’s largest carmaker will likely resist union calls for 6 percent more pay for 100,000 western German workers.
In 2010, VW sold a record 7.14 million cars and SUVs, a 14 percent increase from 2009. On Jan. 10, 2011, sales chief Christian Klingler said deliveries worldwide may increase another 5 percent in 2011.
VW plans to invest EUR51.6 billion ($70 billion) in the automotive business through 2015 to help reach its plan to surpass Toyota Motor Corp. in profit and sales.Read the entire article Vw to resist union calls for 6% more pay for 100,000 western German workers
The German IG Metall labor union's demands for a 6 percent increase in pay for Volkswagen AG's workers in western Germany may be opposed by VW. The Wolfsburg, Germany-based company plans to add thousands of jobs in its home-market and abroad.
Personnel chief Horst Neumann told German newspaper Handelsblatt that the company may create 50,000 jobs globally by 2015, with about 10 percent of the positions in Germany, its second-biggest market after China.
He adds that new job openings in Germany require VW to be able to improve “its competitiveness as planned.” He says that wages may increase by more than 2.7 percent, reflecting a raise for engineering staff already agreed on last February plus performance-linked bonuses to be granted in May 2011.Read the entire article Volkswagen may oppose demands for 6 percent payment increase
According to the latest reports from German press, it appears that Volkswagen Chairman Ferdinand Piech is eyeing Ferrari as the next acquisition. In a recent interview with the Manager magazine, Ferdinand Piech also said that Volkswagen would like to buy Fiat's Alfa Romeo brand, but the "real object of his desire," is Ferrari.
Still, Volkswagen has enough sporty brands, as the manufacturer already owns Lamborghini, Bugatti, Bentley and it is preparing to merge Porsche into its portofolio.
Regarding Bugatti, it appears that Volkswagen bought this marquee after Piech's son was thrilled at seeing a vintage miniature Bugatti in a toy shop.Read the entire article Volkswagen eyeing Ferrari as its next acquisition, German press says
A deal has been forged between German engineering sector union IG Metall and Volkswagen AG for job guarantees to be extended by three years until 2014, according to a union spokesman. The deal, which took months of negotiation, was entered amid weak car markets, stunted growth, and increasing unemployment in western Germany.
Last November, this proposed deal had raised the hopes of 90,000 workers in its high-wage western German plants as its personnel director had talked about the possibility of extending job guarantees until 2014.
In the past, VW, BMW AG, Daimler AG and other European carmakers have granted staff job guarantees for several years.Read the entire article VW, labor to extend job guarantees at the German plants by three years
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