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.’

Boeing ousts Muilenburg, names Chair David Calhoun as CEO

Yahoo – AFP, December 23, 2019

Boeing replaced Dennis Muilenburg as CEO amid the protracted 737 MAX
crisis (AFP Photo/ALEX WONG)

New York (AFP) - Boeing on Monday replaced its embattled chief executive, Dennis Muilenburg, saying a change was necessary as it attempts to restore its reputation amid the protracted 737 MAX crisis.

Boeing named board Chairman David Calhoun as chief executive and president, saying the company needed to "restore confidence" and "repair relationships with regulators, customers and all other stakeholders."

The company pledged to "operate with a renewed commitment to full transparency, including effective and proactive communication with the FAA, other global regulators and its customers."

The aerospace giant's financial picture remains clouded following the global grounding of the MAX in March after two deadly crashes.

The move comes a week after Boeing took the monumental step of temporarily shutting down MAX production because of the crisis, which has pushed the aircraft's return to the skies into 2020.

Muilenburg will exit the company immediately but Calhoun, a former General Electric aviation executive, will not take the CEO post until January 13, 2020, while he exits existing commitments, Boeing said in a news release.

During that period, Chief Financial Officer Greg Smith will serve as interim CEO.

Muilenburg's response to the crisis has been increasingly criticized as the MAX grounding has dragged on far longer than initially expected as more disturbing details have dribbled out about the certification of the MAX.

He has also been seen as tone deaf and awkward towards families of the 346 people killed in the crashes.

After enduring two withering congressional hearings in the fall, Muilenburg's leadership came under further scrutiny this month when the Federal Aviation Administration called the company out for overly-optimistic timeframe for restoring the MAX that the agency said created the perception that Boeing was trying "to force FAA into taking quicker action."

Boeing shares jumped 3.4 percent to $339.13 in early trading on the news.

The company took another hit to its reputation over on Sunday when its Starliner spacecraft landed six days early after a failed mission to rendezvous with the International Space Station.

Boeing CEO grilled on Capitol Hill after MAX crashes

Yahoo – AFP, Luc Olinga with John Biers in New York, October 29, 2019

Family members of those who died aboard Ethiopian Airlines Flight 302 hold
photographs of their loved ones as Dennis Muilenburg (R), president and CEO
of the Boeing Company, testifies before the Senate Commerce Committee
(AFP Photo/WIN MCNAMEE)

Washington (AFP) - Boeing chief executive Dennis Muilenburg faced a barrage of criticism from US lawmakers Tuesday at a jammed hearing on the company's commitment to safety as family members of victims of two deadly MAX 737 crashes looked on.

In his first appearance before Congress since the 737 MAX was grounded in March, Muilenburg apologized for the crashes and acknowledged shortcomings, but broadly defended Boeing's development of the ill-fated aircraft.

Senators from both parties signaled clear dissatisfaction, bordering on rage in some cases.

"Boeing is the company that built the flying fortress that saved Europe," said Democratic Senator Tammy Duckworth, a former National Guard helicopter pilot who lost both legs during the Iraq War.

"You have told this committee and you told me half-truths over and over again," said Duckworth, who represents Illinois, home to Boeing's corporate headquarters. "You have not told us the whole truth and these families are suffering because of it."

Muilenburg stuck to the company's longstanding stance that development of the MAX followed time-tested company procedures and defended it against charges that it cut corners on safety and was too cozy with regulators the Federal Aviation Administration.

Many analysts view the hearings as a can't-win situation for Muilenburg and expect him to exit the company in the foreseeable future, most likely after the MAX returns to service.

Asked by a reporter if he would resign, Muilenburg said, "That's not where my focus is. My focus is on the job at hand focused on safety. And we're going to do everything we can to ensure safe flight."

But Nadia Milleron, who lost her daughter on the Ethiopian Airlines crash, said the company needs a shakeup.

Muilenburg "needs to resign. The whole board needs to resign," she said. "I expect him to stop putting the blame on the FAA and other people because that is what they always do. They don't take responsibility."

Boeing president and CEO, Dennis Muilenburg arrives at a Senate hearing 

on the 737 MAX after two deadly crashes (AFP Photo/MANDEL NGAN)

Passing the buck?

Many of the questions focused on the Maneuvering Characteristics Augmentation System, an automated system that Lion Air and Ethiopian Airlines pilots were unable to control, resulting in crashes.

"We have learned from both accidents and we've identified changes that need to be made to MCAS," Muilenburg told the Senate Commerce Committee.

But Senator Ted Cruz, a Texas Republican, lambasted Muilenburg as he struggled to answer pointed questions about 2016 texts from Boeing pilot Mark Forkner to a colleague that discussed the "egregious" performance of the MCAS during a simulation test and said that he "basically lied to the regulators."

Muilenburg indicated that Boeing counsel shared the documents with the Justice Department in February, but that he did not see the specific exchange until it was reported by news media earlier this month.

"I was made aware of existence of this kind of document," Muilenburg told Cruz. "I counted on counsel to handle this appropriately."

"That is passive voice," Cruz shot back. "You're the CEO, the buck stops with you.

"How did your team not put it in front of you, run with their hair on fire and say 'We have a real problem here?' How did that not happen and what does that say about the culture at Boeing?"

Senator Maria Cantwell, a Democrat from Washington state where the 737 MAX is built, said the crisis showed that Boeing leadership was failing its employees.

"This isn't a question about line workers -- this is a question about the corporate view from Chicago, and whether there is enough attention to manufacturing and certification," Cantwell said. "You should take offense to the fact that people say, 'It's a great company that's not being run correctly.'"

Tuesday's hearing will be followed by a second session on Wednesday in the House Transportation Committee.

Boeing is still targeting regulatory approval for the MAX in 2019, a timeframe that many aviation experts still view as possible.

Senator Roger Wicker, a Mississippi Republican who chairs the Senate committee, told CNBC before the hearing that he intends to scrutinize Boeing's processes but said he did not see anything that would prevent the MAX from going back into service "fairly soon."

"I think this plane is eminently fixable," Wicker told CNBC. "I don't think it's a hopeless cause."

Grieving relatives tossed flowers into the sea where an Indonesia Lion Air jet crashed a year ago, killing 189 on board, after a final accident report pointed to plane design flaws as a key factor in the disaster https://t.co/vS5zwfwglo

— AFP news agency (@AFP) 29 oktober 2019

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".

Crisis-hit Nissan CEO resigns amid pay probe

Yahoo – AFP, Etienne BALMER, 9 September 2019

Reports in Japan say Nissan CEO Hiroto Saikawa will step down over
issues with his pay

Nissan's CEO said Monday he will step down next week, deepening the crisis at the Japanese car giant still reeling from the arrest and ouster of former chief Carlos Ghosn's over alleged financial misconduct.

It is yet another blow for the firm that has seen sales plunge and been forced to slash jobs since Ghosn's stunning arrest for allegedly hiding part of his salary from official documents to shareholders.

Hiroto Saikawa said he would leave the company on September 16, following the results of an investigation into excess pay he received after altering the terms of a bonus.

Saikawa is suspected of improperly adding 47 million yen ($440,000) to his compensation under a scheme in which directors can earn a bonus if their company's share price rises above a certain level in a set period.

Nissan officials were keen to stress that there was no illegality but that he should not have delegated the task to a junior executive.

"At the end of the day, the operation which should have been carried out by the president himself was... delegated to others, which is a violation of the rules," said Motoo Nagai, a board member.

Saikawa admitted handing the task to a company secretariat and said he was "not proud" of this but insisted it was not the same as the misconduct of which Ghosn is accused.

He was it was "totally different from the intentional wrongdoing that was uncovered" during the internal Nissan probe into Ghosn and his right-hand man, US executive Greg Kelly.

The controversial "share appreciation" scheme has now been scrapped, the Nissan board announced.

Current chief operating officer, Yasuhiro Yamauchi, will take over as acting CEO on September 16, when Saikawa officially leaves, and Nissan hopes to find a permanent replacement by the end of October.

Alleged overpayments

The carmaker is currently undergoing an overhaul intended to strengthen governance after the Ghosn scandal.

In June, Nissan shareholders voted in favour of various measures including the establishment of three new oversight committees responsible for the appointment of senior officials, pay issues and auditing.

They also approved the election of 11 directors as the firm restructures, among them two Renault executives as well as Saikawa.

The reforms were designed to put Nissan on a more stable footing after the arrest of Ghosn, who has been sacked from his leadership roles at the Japanese firm and others.

He is awaiting trial on charges of under-reporting millions of dollars in salary and of using company funds for personal expenses.

Ghosn has denied any wrongdoing and accuses Nissan executives opposed to his plans to further integrate the firm with France's Renault of plotting against him.

'Dark side'

Saikawa, a one-time Ghosn protege, turned sharply against his former mentor after his arrest, referring to the "dark side" of the tycoon's tenure and accusing him of accruing unchecked power that allowed his alleged wrongdoing to go undetected.

But the CEO himself came under pressure in the scandal's wake, facing calls to resign from shareholders who view him as too heavily associated with the Ghosn era.

And while he resisted calls to step down immediately, he has always said he planned to hand over the reins after Nissan is back on track.

The Ghosn scandal has proved disastrous for Nissan, which in July announced that net profit plunged nearly 95 percent in the April-June quarter, and confirmed it would cut 12,500 jobs worldwide.

The Japanese firm has also struggled to steady its relationship with Renault as part of a tripartite alliance with Mitsubishi Motors that Ghosn founded and once led.

Asked how he felt towards his once-mentor Ghosn and Kelly, Saikawa said he believed their actions had put the company in the difficult position in which it now finds itself -- with hardship for customers, staff and dealers.

"This is the biggest responsibility... and I think they should think about this, they should feel bad about this. But they haven't expressed any apology for creating this situation," said Saikawa.

"I want Mr Kelly and Mr Ghosn to feel bad about the situation they have created."

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.

Maverick entrepreneur's space rocket fails at blast off

Yahoo – AFP, June 30, 2018

The launch was supposed to send the rocket carrying observational equipment 

to an altitude of over 100 kilometres (62 miles) (AFP Photo/JIJI PRESS)

Tokyo (AFP) - A rocket developed by a maverick Japanese entrepreneur and convicted fraudster exploded shortly after liftoff Saturday, in a major blow to his bid to send Japan's first privately backed rocket into space.

Interstellar Technologies, founded by popular internet service provider Livedoor's creator Takafumi Horie, launched the unmanned rocket, MOMO-2, at around 5:30 am (2030 GMT Friday) from a test site in Taiki, southern Hokkaido.

But television footage showed the 10-metre (33-foot) rocket crashing back down to the launch pad seconds after liftoff and bursting into flames.

No injuries were reported in the spectacular explosion.

The launch was supposed to send the rocket carrying observational equipment to an altitude of over 100 kilometres (62 miles).

The failure follows a previous setback in July last year, when engineers lost contact with a rocket about a minute after it launched.

Interstellar Technologies said it would continue its rocket development programme after analysing the latest failure.

The outlandish, Ferrari-driving Horie -- who helped drive Japan's shift to an information-based economy in the late 1990s and the early 2000s but later spent nearly two years in jail for accounting fraud -- founded Interstellar in 2013.

However, privately backed efforts to explore space from Japan have so far failed to compete with the government-run Japan Aerospace Exploration Agency.

Court clears the way for Rotterdam to ban old petrol and diesel cars

DutchNews, June 6, 2018

Traffic is a major source of inner city pollution. Photo: Depositphotos.com

The highest Dutch administrative court has cleared the way for Rotterdam to ban old diesel and petrol cars from the city centre. 

The outgoing administration had announced plans to ban diesel-powered cars built before 2001 and petrol cars from before July 1992 but were successfully challenged in court by motorists. 

Now the Council of State has found in favour of the city and it will be up to the new, six-party council executive to decide when to implement the ban. 

Meanwhile, motoring organisation ANWB on Wednesday called on the cabinet to draw up rules for city environmental zones, saying motorists are becoming lost in a jungle of bans and restrictions. 

Amsterdam and Utrecht have already banned cars from their city centres and Nijmegen, Leiden, Arnhem and Maastricht are among the other cities where environmental zones could be on the cards. 

Minister

Junior transport minister Stientje van Veldhoven had said earlier she would draw up a set of regulations before the summer, but that deadline may now not be met, the AD reported.

‘I want clarity for both motorists and local authorities,’ the minister told the paper. ‘And it has always been my intention to come up with specific agreements before the summer. These agreements will also cover specific cases, such as invalid cars.’ 

In Amsterdam there is mounting irritation at the spread of Cantas and other mini vehicles, which were originally meant for people with disabilities. They are now proving popular with youngsters because they are not subject to parking restrictions.

VW suspends chief lobbyist over emission tests on monkeys

Yahoo – AFP, Frank ZELLER, January 30, 2018

Outrage mounts over VW's use of monkeys and humans in experiments to study
the effects of diesel exhaust fumes (AFP Photo/PATRICK PLEUL)

Berlin (AFP) - Germany's scandal-hit auto giant Volkswagen on Tuesday suspended its chief lobbyist Thomas Steg as outrage mounted over monkey and human experiments to study the effects of diesel exhaust fumes.

CEO Matthias Mueller said VW had "taken first consequences" from the tests on monkeys and put on leave Steg, the general representative for external relations and government affairs, who had "taken full responsibility".

The New York Times reported last week that US researchers in 2014 locked 10 monkeys into airtight chambers and made them breathe in diesel exhaust from a VW Beetle while the animals were watching TV cartoons.

Separately, it emerged that a research group funded by VW, Mercedes-Benz parent Daimler and BMW had ordered a study in Germany measuring the effects of inhaling nitrogen dioxide on 25 human volunteers.

The scandal follows VW's admission in 2015 that it had manipulated 11 million diesel cars worldwide, equipping them with cheating software to make them seem less polluting than they were.

Mueller on Monday labelled the animal testing "wrong ... unethical and repulsive", reported Spiegel Online.

And Steg had vowed in the top-selling Bild daily that "what happened should never have happened, I regret it very much".

VW's image has been tarnished by the emissions cheating scandal (AFP Photo/
JOHN MACDOUGALL)

He admitted that he had been informed in advance of the US monkey experiment but insisted he prevented a plan to carry these tests out on humans.

The German government has called a special meeting with the affected car companies to ask them to explain themselves.

In Brussels, European Commission spokesman Margaritis Schinas said the EU was "shocked" and took note of Berlin's vow to investigate the matter, adding that "we hope that they will".

Greenpeace slammed "a fraudulent auto industry and an idle German government" behind the scandal and called Steg a "scapegoat". The NGO said nitrogen dioxide emitted by diesel vehicles led to 10,000 premature deaths in Germany each year.

The EU Commission has summoned Germany and eight other EU countries to explain how they plan to lower toxic emissions to meet the bloc's air quality standards if they want to avoid action before the European Court of Justice.

Chancellor Angela Merkel has strongly condemned the latest controversy to engulf the nation's powerful auto industry.

"These tests on monkeys or even humans are in no way ethically justified," said Merkel's spokesman Steffen Seibert on Monday.

"The indignation felt by many people is completely understandable."

No harm?

All three German carmakers have scrambled to distance themselves from the research body in question -- the now defunct European Research Group on Environment and Health in the Transport Sector (EUGT) -- and promised to launch internal investigations.

CEO Matthias Mueller labelled the testing "wrong ... unethical and repulsive"

 (AFP Photo/Tobias SCHWARZ)

Mueller said that "we are in the process of scrutinising the work of the EUGT, which was dissolved in 2017, and drawing all the necessary conclusions from it.

"Mr. Steg has declared he was taking full responsibility. I respect that," he said.

Steg had, in his comments to Bild, also addressed the German tests conducted in an institute in Aachen in 2013 and 2014, stressing that the volunteers had been exposed to "much lower levels than those found in many workplaces" and that no-one suffered any harm.

Although it was the EUGT that commissioned both tests, the organisation itself was financed by the trio of car giants hoping its research would defend diesel's green reputation.

The car companies decided in late 2016 to dissolve the EUGT, which shut its doors last year.

Amid the controversy, Berlin's Tageszeitung daily said that "while these experiments are doubtless scandalous, the bigger scandal is the experiment the car industry has been conducting on the wider population for decades".

"While the monkeys and human volunteers only had to inhale exhaust fumes for a few hours, people with the misfortune to walk along arterial roads have been breathing in levels of nitrogen oxide far higher than EU limits for years."

UK defence giant BAE Systems to axe almost 2,000 jobs

Yahoo – AFP, October 10, 2017

BAE faces slowing demand for the Eurofighter Typhoon jet, developed with the
 help of Italy's Finmeccanica and Airbus as part of a European consortium (AFP
Photo/SAUL LOEB)

London (AFP) - British military equipment maker BAE Systems said Tuesday it plans to cut almost 2,000 jobs, mainly owing to weaker demand for Hawk and Eurofighter Typhoon fighter jets.

There will be cutbacks in BAE's military, maritime and intelligence services divisions under moves to streamline the group overall.

"To ensure production continuity at competitive costs... and based on the profile of currently contracted and expected aircraft deliveries, actions continue to be taken to reduce the group's current Typhoon and Hawk production rates," BAE said in a trading update.

"As a result, the group has today announced a proposal to reduce the workforce of the military air and information business by up to 1,400 roles."

Those job losses will fall across five sites over the next three years, including Warton and Samlesbury in northwestern England, where Eurofighter warplanes are assembled.

Approximately 375 redundancies will also hit BAE's maritime servicing and support business, mainly affecting Portsmouth on the south coast.

The company's cyber intelligence business in London and nearby Guildford will lose about 150 jobs.

BAE faces slowing demand for the Eurofighter Typhoon jet, developed with the help of Italy's Finmeccanica and Airbus as part of a European consortium.

At the same time, the group is easing back Hawk production ahead of an expected order from Qatar.

Most of the military air job cuts will go in 2018 and 2019, while BAE plans to achieve as many voluntary redundancies as possible.

"The organisational changes we are announcing today accelerate our evolution to a more streamlined... organisation, with a sharper competitive edge and a renewed focus on technology," wrote BAE chief executive Charles Woodburn.

"These actions will further strengthen our company as we deliver our strategy in a changing environment."

BAE's share price was down 0.2 percent in late morning deals on London's rising stock market following the announcement.

"Those actions are necessary and the right thing to do for our company, but unfortunately include proposed redundancies at a number of operations," Woodburn added.

"I recognise this will be difficult news for some of our employees."

Britain's biggest trade union Unite blasted the announcement as a "short-sighted" move that would hurt the country's defence capability.

"These planned job cuts will not only undermine Britain's sovereign defence capability, but devastate communities across the UK who rely on these skilled jobs and the hope of a decent future they give to future generations," said Unite assistant general secretary, Steve Turner.

"These devastatingly short-sighted cuts will harm communities, jobs and skills."