Elon Musk hands over first 'made in Germany' Teslas

Yahoo – AFP, Florian CAZERES, March 22, 2022

Elon Musk tweeted "Danke Deutschland!" (Thank you, Germany) after inaugurating
Tesla's first production site in Europe (AFP/Patrick Pleul)

Tesla CEO Elon Musk danced for joy at the inauguration of his "gigafactory" electric car plant near Berlin on Tuesday, shrugging off two years of bureaucracy and delays to watch customers drive off with the first Model Y vehicles made in Europe. 

"Danke Deutschland!" (Thank you, Germany) Musk tweeted after the red ribbon ceremony, where he joined workers in applauding the first 30 drivers to get behind the wheel of their new cars. 

The US billionaire even broke into a little dance during the handovers, reviving memories of the slightly awkward jig he did at a launch event in Shanghai in 2020 that lit up the internet. 

The factory opening caps an arduous two-year approval and construction process that saw Tesla run into a series of administrative and legal hurdles, including complaints from locals about the site's environmental impact. 

Having started construction at its own risk, Tesla finally won the formal go-ahead from regional authorities to begin production earlier this month. 

The "gigafactory" in Gruenheide, in Germany's eastern state of Brandenburg, is Tesla's first production site in Europe and local officials are hoping it will help the region position itself as a hub for electric vehicle production. 

The Californian company aims eventually to employ some 12,000 workers at the site who will churn out around 500,000 Model Y cars annually, the firm's all-electric, compact SUVs. 

"We are extremely confident that the world can transition to a sustainable energy future with the combination of solar, wind, plus battery storage and electric vehicles," Musk said in a speech at the ceremony. 

"I really want to assure everyone that you can have hope in the future, you should have hope in the future," he added. 

'New era' 

Tesla's arrival is expected to jolt Germany's flagship car industry, setting the stage for fierce competition with rivals Volkswagen, BMW and Mercedes-Benz as they pivot from traditional engines to cleaner electric vehicles. 

"The new era in the auto industry has now arrived in Germany," said analyst Ferdinand Dudenhoeffer from the Center for Automotive Research. 

Tesla's focus on Europe comes as the continent grapples with sky-high energy costs that have sent petrol prices soaring, prompting some drivers to take a closer look at electric alternatives. 

The "Giga Berlin-Brandenburg" is "one of the biggest strategic endeavours for Tesla over the last decade and should further vault its market share within Europe over the coming years as more consumers aggressively head down the EV path," analysts at investment firm Wedbush said. 

But Tesla has not been spared the pain from shortages of key materials and supply chain disruptions, linked in part to Russia's invasion of Ukraine, that are also plaguing other carmakers. 

Musk tweeted last week that the company was seeing "significant recent inflation pressure" in raw materials and logistics. 

Away from Russian oil 

Economy Minister Robert Habeck, who attended Tuesday's inauguration along with Chancellor Olaf Scholz, said it was "a special day for Germany's mobility transformation". 

In a nod to efforts to reduce reliance on Russian energy, Habeck said electric cars took Germany "one step further away from oil imports". 

He also called for more "Tesla speed" in other infrastructure projects, including the expansion of renewable energies. 

Although Musk was frequently frustrated by the red tape that slowed down his Gruenheide plans, by German standards the factory was up and running in record time. 

The inauguration was not universally welcomed, however, with environmental campaigners protesting near the site. 

Among their demands was a call for better and free public transport instead of "yet more cars", said spokeswoman Lou Winters from the Sand in the Gears environmental group.

New Dutch law allows mass claim against Volkswagen over Dieselgate

DutchNews, March 17, 2020 - By Robin Pascoe 

Photo: Depositphotos.com

A Dutch foundation is taking car maker Volkswagen to court on behalf of 8.5 million car owners to demand compensation for manipulating emissions tests in the Dieselgate scandal. 

The Diesel Emissions Justice Foundation is taking advantage of new legislation in the Netherlands allowing mass claims and giving plaintiffs the right to go to court if the company concerned refuses to reach a settlement. 

Robert Bosch, the company which developed the software used to fiddle the emissions reports, car importer Pon and a number of Dutch car dealers are also named on the legal documents. 

In autumn 2015, Volkswagen admitted that it had sold 11 million cars worldwide with secret ‘defeat device’ software that ensured it would pass emissions tests in a laboratory, while the cars emitted higher levels of pollution on the road. 

‘This law offers access to justice for millions of injured customers, both within and outside the Netherlands,’ said the foundation’s managing director Femke Hendriks in a statement. ‘Volkswagen has rejected our invitation to engage in negotiations, which compels us to go all the way.’ 

The car company’s actions, she said, had caused ‘tremendous harm’ to consumers, the environment and public health. ‘It is time for Volkswagen to be presented with the bill for its fraudulent actions across Europe.’ 

Fines 

Volkswagen has already paid billions in damages and fines as a result of legal proceedings in the US, Australia, Canada and South Korea but has largely escaped in Europe. 

In February the company agreed to pay out €830m to 400,000 drivers following a case brought by German consumer groups. 

‘This is the first time that Volkswagen has taken responsibility for its actions in Europe and is attempting to dispel the past, although only for a small part of affected consumers and for relatively small amounts,’ Hendriks said. 

In 2017, the Dutch consumer and markets association fined Volkswagen €450,000 for ‘unfair commercial practices’ for advertising cars as eco-friendly ‘while the results of emission tests had been manipulated by illegal software.’ 

No basis 

Volkswagen told DutchNews.nl in a reaction that when the case starts, Volkswagen will defend itself, ‘as it believes there is no basis for the compensation of damages or other remedies for consumers in the Netherlands’. 

‘Our customers in the Netherlands have not suffered any loss or damage, as all cars can be used in traffic and are safe,’ the statement said. ‘They are still driven by more than a hundred thousand customers every day. All necessary approvals are valid and in place. For these reasons, we see no legal basis for customer complaints. This new initiative does not change this position.’

More pain for German car industry as Daimler axes 10,000 jobs

Yahoo – AFP, Michelle FITZPATRICK, November 29, 2019

Electric shock to jobs: the costly switch to electric vehicles is pushing carmakers
to shed jobs, with Mercedes-maker Daimler become the latest on Friday with a plan
 to cut at least 10,000 posts in the coming years (AFP Photo/Miguel MEDINA)

Frankfurt am Main (AFP) - Luxury automaker Daimler said Friday it would scrap at least 10,000 jobs worldwide, the latest in a wave of layoffs to hit the stuttering German car industry as it battles with a costly switch to electric.

The Mercedes-Benz maker said it wanted to save 1.4 billion euros ($1.5 billion) in staff costs by the end of 2022 as it joins rivals in investing huge sums in the greener, smarter cars of the future.

"The total number worldwide will be in the five-digits," Daimler personnel chief Wilfried Porth said in a conference call about the job cull.

He declined to give a more detailed breakdown.

The group said in an earlier statement that "thousands" of jobs would be axed by the end of 2022, after clinching a deal with labour representatives.

The cull includes slashing management jobs "by 10 percent", Daimler said, reportedly amounting to some 1,100 positions around the world.

"The automotive industry is in the middle of the biggest transformation in its history," Daimler said.

"The development towards CO2-neutral mobility requires large investments," it added.

Along with other manufacturers, Daimler is scrambling to get ready for tough new EU emission rules taking effect next year, forcing it to accelerate the costly shift to zero-emissions electric cars and plug-in hybrids.

The group, which employs 304,000 people globally, said the job cuts would be achieved through natural turnover, early retirement schemes and severance packages.

Fewer parts needed

Daimler's announcement comes as the mighty German car industry is buffeted by trade tensions, weaker Chinese demand and a darkening economic outlook.

Other major car companies have in recent months already unveiled plans to cut some 30,000 jobs in the sector over the next years.

Germany's Audi said it wants to axe 9,500 jobs, followed by more than 5,000 at Volkswagen, some 5,500 at car parts supplier Continental, while Bosch aims to cut more than 2,000 roles.

US car giant Ford plans to scrap some 5,000 jobs in Germany alone.

Electric engines require fewer parts and are less complicated to assemble than internal combustion engines, needing fewer hands.

But auto bosses have said thousands of new, hi-tech jobs will also be created in the electric era to make cars more autonomous and connected.

German automotive expert Ferdinand Dudenhoeffer has said he believes the German car sector -- which currently employs 800,000 people -- will shed 250,000 jobs over the next decade.

A total of 125,000 new ones will be created, he predicted.

Daimler returned to profit in the third quarter and said it was expecting 2019 revenues to be "slightly above" last year's, while operating profit would be "significantly below" the 11.1 billion euros in 2018.

Adding to Daimler's woes this year were expensive recalls linked to faulty Takata airbags and to diesel cars allegedly fitted with software to dupe emissions tests.

While the company has staunchly denied cheating, it nevertheless agreed to pay an 870-million-euro fine in Germany for having sold vehicles that did not conform with legal emissions limits.

Audi to slash 9,500 jobs in Germany by 2025

Yahoo – AFP, Yann SCHREIBER, November 26, 2019

Audi is to shed jobs as it shifts to electric models (AFP Photo/CHRISTOF STACHE)

Frankfurt am Main (AFP) - German luxury carmaker Audi said Tuesday it planned to slash 9,500 jobs in Germany by 2025 as part of a massive overhaul to help finance a costly switch to electric vehicles.

The job cuts will be achieved through an early retirement programme and natural turnover at its two German plants, the company said in a statement.

At the same time, the Volkswagen subsidiary said it would create 2,000 new jobs in the areas of electromobility and digitisation as it pivots to the smarter, cleaner cars of tomorrow.

The shake-up comes as Audi, like other carmakers, grapples with slowing demand in a weaker global economy, tougher pollution rules and the huge investments needed for the battery-powered era.

"In times of upheaval, we are making Audi more agile and more efficient," said CEO Bram Schot.

"This will increase productivity and sustainably strengthen the competitiveness of our German plants."

The remaining roughly 50,000 workers at Audi's Ingolstadt and Neckarsulm factories will have job security until the end of 2029 under the hard-fought deal struck with labour representatives.

"We have reached an important milestone," said Peter Mosch, head of Audi's works council.

"The extension of the employment guarantee is a great success in difficult times."

Audi said the reorganisation would help boost earnings by six billion euros ($6.6 billion) by 2029, keeping the premium brand on track to reach a profit margin of nine to 11 percent.

New CEO

The jobs cull comes after Audi was hit by falling sales, revenues and operating profits over the first nine months of 2019.

But the company is far from alone in feeling the pain from an industry in the throes of transformation and buffeted by the knock-on effects from US-China trade tensions and Brexit uncertainty.

German car parts suppliers Bosch and Continental have themselves announced thousands of job cuts to slash costs, while Mercedes-Benz maker Daimler is reportedly planning to axe 1,100 managerial roles.

Hoping to turn the tide at Audi, the Volkswagen group earlier this month said it had picked former BMW purchasing chief Markus Duesmann to replace Schot as the brand's chief executive from April.

Under Schot, Audi suffered more than other German manufacturers from the introduction last year of strict new emissions testing standards in the European Union, which led to expensive production bottlenecks.

And like its rivals, Audi is spending billions on new technologies, including battery-electric and hybrid vehicles, connectivity and autonomous driving.

But the firm last year also had to pay an 800-million-euro fine over its role in the "dieselgate" scandal.

The saga erupted in 2015 when the Volkswagen group admitted to installing cheating devices in 11 million diesel cars worldwide to dupe regulatory emissions tests.

Audi's engineers are suspected of having helped developed the software used to make cars emit less pollutants under lab testing conditions than on the road.

Promise and peril for German carmakers in Tesla's Berlin touchdown

Yahoo – AFP, Florian CAZERES with Yann SCHREIBER in Frankfurt, November 13, 2019

Tesla would be the first foreign car company to set up shop in Germany
"in decades" sector analyst Stefan Bratzel says (AFP Photo/John THYS)

Hopes are high that US electric pioneer Tesla's first European factory just outside Berlin will boost German carmakers, but it also ups the pressure on homegrown manufacturers to raise their battery-powered game.

Elon Musk's Tuesday announcement that his Californian firm is coming marks the first foreign car company setting up shop in Germany "in decades," said analyst Stefan Bratzel of the Center of Automotive Management -- "symbolic for the new world and the reordering of the industry."

Economy minister Peter Altmaier trumpeted "a great success," saying Germany had prevailed in "intense competition" with other European countries.

Musk unveiled Tesla's European touchdown at an industry event in Berlin, saying he had picked a site in Brandenburg for the factory, which is expected to bring roughly 7,000 jobs.

Slated for an area southeast of the German capital, the plant "will build batteries, powertrains and vehicles, starting with Model Y" SUVs, Musk later tweeted.

Production is to start in 2021 at the earliest.

"I think it's a good thing, it will create jobs and electric cars are good for the environment," said Mathias Wirth, who lives in Gruenheide, set to host the Tesla plant.

"It's a big opportunity for people living here," agreed fellow resident Iris Siebman.

Musk said the German state of Brandenburg offers "a lower than average paid workforce

 in the former East Germany" and space to expand (AFP Photo/Tobias SCHWARZ)

'Pressure on the Germans'

Tesla accounts for almost one in three electric vehicles sold in western Europe, and worldwide sales of its Model 3 have already overtaken those of BMW's 3 Series sedans, although "German sales remain disappointing", according to analyst Matthias Schmidt.

Electric vehicles more broadly have fallen short of ambitions, with Chancellor Angela Merkel this year targeting one million on the road by 2022 -- two years later than she had previously aimed for.

"Elon Musk's decision in favour of Germany... adds more momentum to electric mobility than 100 summits called by the chancellor," said Ferdinand Dudenhoeffer, head of the University of Duisburg-Essen's Center for Automotive Research.

"Competition has always made people better and faster, so it's good news for Volkswagen, BMW and Daimler too," he added.

But there is also no doubt Musk's move "puts pressure on the Europeans and the Germans," said Christoph Schalast, professor at the Frankfurt School of Finance and Management.

German giants are behind in adapting fleets to meet new European emissions limits, and have left it until late to commit to electric drive in a big way.

In the near term, bosses "won't be losing too much sleep, but the danger is if they wait too long with their own credible electric vehicle offerings, they may begin to lose some of their credibility," analyst Schmidt said.

A German car industry source told AFP they were relaxed about Tesla's announcement, hoping the competitor's arrival would accelerate the country's electric transition.

Elon Musk hailed hailed "outstanding" German engineering as a factor in his 

choice of a site near Berlin (AFP Photo/Jörg Carstensen)

'Made in Germany'

On stage Tuesday, Musk hailed "outstanding" German engineering as one factor playing into the choice for Berlin.

The capital can lend "creativity" and English-speakers, "the engineering and programming hipsters," while Brandenburg offers "a lower than average paid workforce in the former East Germany" and space to expand.

But Schmidt warned the Californian risks running into "bureaucratic hell" in Germany, with Musk's new site just a few kilometres (miles) from the Berlin-Brandenburg airport.

The planned hub is almost a decade behind schedule, largely down to problems with its fire suppression system.

Even without such dramatic delays, Tesla is unlikely to throw together a factory in the one year its new Chinese site required.

Work is to start in early 2020 with a budget of several billion euros (dollars), Brandenburg's economy minister was quoted by the news agency DPA as sayin

Volkswagen faces first mammoth diesel lawsuit on home turf

Yahoo – AFP, Yann SCHREIBER, September 30, 2019

Dieselgate is now 'part of the group's history' (AFP Photo/John MACDOUGALL)

Braunschweig (Germany) (AFP) - A case pitting hundreds of thousands of owners of manipulated diesel cars demanding compensation opened against German car behemoth Volkswagen Monday, four years after the country's largest post-war industrial scandal erupted.

Around 450,000 people have joined a first-of-its-kind grouped proceeding, introduced by lawmakers after the "dieselgate" emissions cheating scandal broke in 2015.

The first hearing in what is likely to be a grinding, years-long trial began at 10 am (0800 GMT) in Brunswick, around 30 kilometres (19 miles) from VW headquarters in the northern city of Wolfsburg. The second is planned for November 18.

Consumer rights group VZBV, representing the plaintiffs, says the German carmaker deliberately harmed buyers by installing motor control software that allowed vehicles to pollute far more on the road than under lab conditions.

"I would like Volkswagen to reimburse the purchase price" said Andreas Sarcletti, a customer who had made the trip from nearby Hanover, "but I'm worried the trial is going to last a very long time."

Uwe Reinicke, who bought a manipulated vehicle in 2011, said "I don't think it's right, the way Volkswagen treated us."

VW fooled authorities about the real level of harmful emissions from 

its cars (AFP Photo/THOMAS KIENZLE)

"VW ought to finally, properly admit that they lied," he added.

The trial is Germany's largest so far in the tentacular diesel scandal, which last week saw VW chief executive Herbert Diess charged with market manipulation over his role.

50 questions for judges

"Several regional tribunals have already found against Volkswagen" and granted plaintiffs compensation, judge Michael Neef noted as the proceedings opened.

Alongside the grouped proceeding, 61,000 individual lawsuits have been filed in Germany, but Brunswick may not follow those earlier rulings.

Of the around 50 questions about the case judges must decide on, whether Volkswagen "caused harm" by acting "dishonestly" will be "one of the central, difficult questions," Neef added.

"We're confident of our chances, since Volkswagen committed fraud," VZBV lawyer Ralph Sauer told AFP ahead of the hearing.

VW lawyer Martine de Lind van Wijngaarden countered that there was "no harm and no basis to this claim" because "hundreds of thousands of cars are used" on the roads without problem.

A lot of files to get through (AFP Photo/Ronny Hartmann)

Judges said that even if they find there was harm, the amount diesel owners receive in compensation would be based on the present-day market value -- not the original purchase price.

Every owner registered in the trial will have to claim individually, even if the plaintiffs were to win the case.

VW thinks a final judgement could arrive in 2023 at the earliest, if the case is appealed all the way to the Federal Court of Justice.

Individual proceedings could then take at least another year -- in the court of first instance.

By then, the cars' market value will have further eroded, making a buyback cheaper for the firm.

Instead, the judges mentioned the possibility of a settlement, while allowing that such talks "would not be easy" given duplicates and foreign residents on the list of plaintiffs.

The VZBV says it is "open" to an out-of-court settlement but "in that case, VW would have to pay a significant sum after all," Mueller told AFP.

VW for its part finds a mass settlement "hard to imagine".

Most of VW's fines payments have gone to the US (AFP Photo/Geoff Robins)

30 billion euros

Since 2015, when Volkswagen admitted to manipulating 11 million vehicles worldwide to fool emissions tests, the scandal has cost the group over 30 billion euros ($33 billion) in fines, compensation and legal costs.

Most of that sum -- $22 billion -- has gone to the US, while in Germany VW has so far paid just 2.3 billion euros spread across three fines.

Alongside car owners, investors are claiming damages for losses they suffered when the group's share price plummeted after it came clean.

And earlier this week, chief executive Herbert Diess and supervisory board chief Hans Dieter Poetsch were charged with market manipulation.

Former chief executive Martin Winterkorn, who stepped down over the scandal, has been also charged with fraud.

The clouds of scandal still haven't blown away (AFP Photo/Julian Stratenschulte)

Away from the legal battlegrounds, "dieselgate" has sped up the fuel's decline from its status as lower-carbon alternative to petrol, favoured with government subsidies.

In Germany, its market share among new registrations has fallen from 46 to 33 percent. Car bans are also looming in some city centres because of the level of nitrogen oxides (NOx) emissions.

The diesel scandal is "part of the group's history" just like the famous Beetle and Golf models, says VW brand chief Ralf Brandstaetter.

"The diesel crisis was a catalyst for our transformation," Brandstaetter told AFP in a recent interview, pointing to VW's 30 billion euro investment in a new electric range to "regain society's respect".

Stripped-back auto show mirrors German car industry gloom

Yahoo – AFP, Yann SCHREIBER, September 8, 2019

Major foreign carmakers are shunning Frankfurt's International Auto Show this 

year, but climate protestors plan to attend (AFP Photo/Odd ANDERSEN)

Frankfurt am Main (AFP) - Frankfurt's biennial International Auto Show (IAA) opens its doors to the public Thursday, but major foreign carmakers are staying away while climate demonstrators march outside -- forming a microcosm of the industry's woes.

"There have never been so many cancellations by carmakers," said Ferdinand Dudenhoeffer of the Centre for Automotive Research (CAR).

"The IAA is turning into a trade fair packed with problems," he added, in the image of the German manufacturers who host it.

Giants like Mercedes-Benz maker Daimler, BMW and Volkswagen are seeing their engineering advantage and profit margins eroded -- even as the global economic outlook darkens.

The potential blow of US tariffs on European auto imports hangs over many carmakers, who have already suffered from an escalating Washington-Beijing trade confrontation due to their American factories.

Meanwhile three of the world's four largest carmakers will stay away from the IAA this year: the French-Japanese Renault-Nissan-Mitsubishi alliance, Japan's Toyota and US-based General Motors (GM).

Other heavyweights like Italian-American Fiat-Chrysler and France's PSA have also absented themselves, as well as some of the best-known luxury brands.

The remaining manufacturers huddled in Frankfurt's massive trade fair complex have one major priority: stoking enthusiasm for new electric models set for release this year, as new EU carbon emissions limits enter into force from 2020.

Porsche expects well-heeled clients to fork over a hefty sum for its new 

battery-powered Taycan model (AFP Photo/Patrick Pleul)

Pricey targets

If manufacturers cannot squeeze the average carbon dioxide (CO2) output of their fleets below 95 grammes per kilometre, they will be fined a hefty 95 euros ($105) per excess gramme on each car registered.

After years of delay, German manufacturers still lag foreign competitors like California's Tesla on the costly research and development for electric alternatives that can score in the mass market.

Even at the high end, Volkswagen subsidiary Audi has failed to dent Tesla with its e-Tron electric SUV.

And stablemate Porsche is betting buyers will be prepared to fork out a massive premium over the Californian brand's top models for its new battery-powered Taycan.

That makes VW's Frankfurt launch of its ID.3 -- a compact all-electric car that it compares to the legendary Beetle and Golf -- of vital importance, as the tip of the spear in the sprawling conglomerate's 30-billion-euro electric offensive.

The first model based on VW's modular MEB electric platform, ID.3 "is almost critical to survival" for the company, Stefan Bratzel of the Center of Automotive Management told AFP.

"It has to be a success, the shot has to hit home, because a lot is riding on it."

Climate campaigners inspired by Swedish militant Greta Thunberg plan to stage 

major protests at the Frankfurt auto show this year (AFP Photo/Oliver Berg)

Marchers expected

Where big international competitors will be lacking, climate demonstrators are planning to make up the numbers at this year's IAA.

Thousands are expected to hit the streets Saturday, reaching the trade fair on bicycles or on foot, while a blockade is scheduled Sunday amid calls for a "transport revolution".

After taking on coal mining over the summer, the environmentalists are turning their fire on a sector that long seemed untouchable.

As Germany's biggest manufacturing industry employing around 800,000 people, the car sector was also protected through deep connections to traditional political parties.

But the winds are changing in German politics.

Climate change has shot up voters' agenda after a fierce 2018 drought and months of "Fridays for Future" demonstrations by schoolchildren, while the Greens are polling at unprecedented levels and made big gains in this year's European elections.

Meanwhile a years-long diesel emissions cheating scandal rumbles on, as a case by 400,000 car owners against VW over "dieselgate" opens in three weeks' time.

And on September 20, all eyes will be on Chancellor Angela Merkel's beleaguered coalition government in Berlin, as it unveils a comprehensive new climate strategy ahead of a UN summit.

German prosecutors charge ex-VW boss Winterkorn with fraud

Yahoo – AFP, April 15, 2019

German prosecutors say former Volkswagen CEO Martin Winterkorn was as
 "guarantor" to authorities and customers that the group was not selling cheating
vehicles "even after he knew about the illegal manipulations" (AFP Photo/Tobias
SCHWARZ)

Frankfurt am Main (AFP) - German prosecutors said Monday they had charged former Volkswagen chief executive Martin Winterkorn and four other managers over the group's "dieselgate" emissions cheating scandal.

They "are accused of multiple crimes realised in a single criminal action, especially a particularly serious case of fraud and an infraction of the law against unfair competition," the prosecutors said in a statement.

It was not immediately clear whether the other accused -- who were not named -- still work at VW or have since left the company.

Winterkorn has been singled out for his role as a "guarantor" to authorities and customers that the group was not selling cheating vehicles "even after he knew about the illegal manipulations" -- knowledge the prosecutors said he had "from May 25, 2014".

That date was more than a year before VW publicly admitted to fitting 11 million vehicles with software to make them appear less polluting in the lab than in real driving conditions.

"In the end, this resulted in the imposition of higher fines against Volkswagen AG in Germany as well as the USA," the prosecutors said.

As well as failing to inform authorities of the cheating, VW "with the knowledge and approval of Winterkorn" issued a software update in November 2014 whose only purpose was to cover up the so-called "defeat devices" that enabled the cheating, said the statement.

VW shares were little moved by the charges, gaining 0.4 percent to trade at 154 euros around 1:15pm in Frankfurt (1115 GMT), slightly outperforming the DAX blue-chip index.

The Wolfsburg-based group has so far suffered costs of 29 billion euros ($32.8 billion) related to dieselgate, much of it in fines, compensation and buyback schemes in the United States.

In Germany, the group has paid 1.8 billion euros spread over two fines.

Aftershocks from the scandal have been serious enough to change the gigantic firm's course, with bosses now making a massive bet on electrification over the next decade.

But the legacy of dieselgate is still clinging to VW, with hundreds of thousands of customers in Germany bringing cases demanding compensation for their manipulated vehicles.

And investors have opened two court cases against VW and its holding company Porsche SE, saying bosses should have informed markets sooner about the likely financial impact of the cheating.

BMW, Daimler, VW broke antitrust rules, EU says in 'preliminary view'

France24 –AFP, 5 April 2019

Exhaust from cars is a major source of air pollution in urban areas and numerous
cities have enacted or are considering restrictions on driving heavily-polluting
vehicles in city-centres dpa/AFP/File

Brussels (AFP) - The European Union warned German car giants BMW, Daimler and Volkswagen on Friday that a preliminary inquiry has concluded they colluded not to compete on emission control technology.

"As a result, European consumers may have been denied the opportunity to buy cars with the best available technology. The three manufacturers now have an opportunity to respond to our findings," EU competition commissioner Margrethe Vestager said.

The EU Commission has concluded that BMW, Daimler and the VW group -- Volkswagen, Audi and Porsche -- held so-called "circle of five" meetings to rig competition in emissions technology.

This allowed them to limit the introduction of "AdBlue" or urea to diesel engine exhaust gases, reducing its effectiveness as a way to produce cleaner emissions, the statement said.

The firms also -- "in the Commission's preliminary view" -- colluded to avoid or delay introducing OPF particle filters to reduce harmful particles in petrol exhaust fumes.

The findings form the basis of a "statement of objections" to which the firms will have a chance to respond before the Commission decides whether to pursue a case under competition rules banning cartel agreements.

A Damiler spokeswoman told AFP the firm was aware of the report but had already been cooperating with investigators and "does not expect to receive a fine in this matter".

Germany finds truckers cheating to hide emissions

Yahoo – AFP, April 2, 2019

Emissions cheating in trucks is rampant and getting harder to detect (AFP Photo/
Christoph Schmidt)

Frankfurt am Main (AFP) - German authorities have identified hundreds of trucks "manipulated" to save their operators money by shutting off exhaust treatment systems, saying many more cheating vehicles could be at large on Europe's roads.

Of around 13,000 trucks whose "AdBlue" filter system was checked on German roads last year, 300 were "defective", a government answer to a parliamentary question from the Greens party seen Tuesday by AFP showed.

Of 132 such defects spotted since August last year, 84 could be traced back to deliberate manipulation rather than a technical fault, the government added -- a distinction not drawn in statistics collected before then.

Electronic devices available for around 100 euros ($112) allow users to deactivate the exhaust treatment system, allowing some trucking firms to make massive savings, daily Sueddeutsche Zeitung (SZ) reported after revealing the scheme.

But with their catalytic converters switched off, the trucks spew far more harmful pollutants.

"The fact that we are finding more manipulated systems than faulty ones is an alarm signal," Greens MP Stephan Kuehn said.

With time, "the parts needed for the cheating are becoming smaller and smaller and more sophisticated, and therefore more difficult to find" during spot checks, the government added.

The SZ reported that operators can save up to one-third of the costs of running a truck supposedly meeting the Euro 5 or 6 emissions standard by installing one of the boxes or modifying software -- an even harder-to-detect option.

Devices or software changes can enable cheating in a number of ways.

Some fool the engine control software into thinking the catalytic converter is still working, preventing a warning to the driver or an automatic reduction in performance.

Others produce fake readings for the outside temperature, triggering a system that deactivates exhaust treatment at below -11 Celsius (12.2 Fahrenheit).

Clusters of similar rule-breaking have been identified elsewhere in Europe, especially in Spain.

Without exhaust treatment, trucks emit far more nitrogen oxides (NOx), which studies have shown is linked to various respiratory and cardiovascular diseases.

Since Volkswagen admitted in 2015 to cheating emissions tests on 11 million vehicles worldwide, alarm has spread in Germany about levels of the gas in city air.

Federal, state and local governments are battling to prevent drivers of older diesel vehicles being banned from city centres as courts order a growing number of exclusion zones.