Volkswagen Refitting Would Cost $335 Per Vehicle

Volkswagen Refitting Would Cost $335 Per Vehicle

Volkswagen on Tuesday said that it would be repairing 11 million odd vehicles following the rigging of the emissions tests last week. The new CEO of Volkswagen Group’s Matthias Mueller said that the company would inform the customers if they needed to have the diesel engines with illegal software to be refitted in the coming days.

Bosch has supplied Volkswagen with the testing software to manage the engine that included metering and delivery modules. This was the software that was used by Volkswagen to undercut the diesel emission laws set by the U.S regulators. Bosch is the world’s largest auto supplier and now knowingly or unknowingly has become part of this huge diesel emissions scandal.

Bosch has let out a report in German newspapers that it had told Volkswagen in 2007 that it was not legal to use the software in cars that it had planned to sell, but Volkswagen did not get heed to their advice and installed the cheat software in their diesel cars.

The first warning from Bosch was sounded two years after Volkswagen started the development of small displacement diesel engines. The then Volkswagen brand chief Wolfgang Bernhard and VW engineer Rudolph Krebs told the supervisors that the new engine under development needed AdBlue urea injection in order to pass U.S emission standards.

This AdBlue solution would not be approved by VW cost controllers as it would add $335 more to the cost of the vehicle.

Krebs and Bernhard left Volkswagen that year when Bosch advised the company about the software. This was the time when the former CEO Martin Winterkorn took over as the CEO. He directed Wolfgang Hatz and Ulrich Hackenberg to work on the engine. This is how the engine was used up in VW group diesel cars, with the ‘cheat software’ in it.

VW’s initial investigations show that an engineer from the company cautioned Volkswagen about the use of fraudulent software in 2011.

Some analysts believe that the cost of refitting the diesel vehicles would make Volkswagen group poorer by $6.5 billion. The U.S lawmakers have asked VW to hand over all documents related to diesel emissions tests scandal.

The company is going through huge pressure to address this crisis. The shares of the company go down day by day and this could cause problems to Germany’s economy.

Volkswagen has not clarified on how it is planning the refitting exercise that would make the cars with cheat software comply with the emission norms.

October 2nd, 2015 by