Thursday, August 15, 2019

U.S. Regulators Approve Fix For 326,000 VW Diesels




WASHINGTON, July 27 (Reuters) - The U.S. Environmental Protection Agency and California Air Resources Board on Thursday approved a fix for 326,000 Volkswagen AG diesel cars, the agencies and the automaker said Thursday. The fix will include hardware and software upgrades, including replacing an emissions catalyst but will reduce vehicle fuel economy ratings by as much as 2 miles per gallon. Volkswagen said in a statement it was pleased with the approval and that it means 98 percent of 2.0-liter diesel vehicles have been approved for a fix. In March, Volkswagen pleaded guilty to three felonies in a U.S. 40 times the legal limit. The September 2015 disclosure that VW intentionally cheated on emissions tests for at least six years led to the ouster of its chief executive, damaged the company's reputation around the world and prompted massive bills. Volkswagen agreed last year to offer to buy back up to 475,000 diesel vehicles with 2.0-liter engines that had been sold in the United States, including the vehicles that won approval on Thursday for a fix.





Thursday's approval means that the automaker can now offer hardware and software upgrades and compensation to owners. The approval is also a key step toward allowing the carmaker to resell or potentially export tens of thousands of diesel cars it has repurchased and is storing all over the United States. As of the end of May, Volkswagen had 37 secure storage facilities around the United States housing close to 275,000 vehicles. Those places include a shuttered suburban Detroit football stadium, a former Minnesota paper mill and a field near a raceway in Colorado. 6.3 billion to repurchase 2.0-liter vehicles and compensate owners. The vehicles winning approval for an upgrade are the oldest of the models that came under scrutiny in the company's diesel cheating scandal. Volkswagen said previously that about 325,000 vehicles were in Generation One including diesel Jetta, Jetta SportWagen, Golf, Beetle, Beetle Convertible and Audi A3 cars. 25 billion to address claims from U.S. 500,000 polluting U.S. vehicles, including some larger 3.0 liter vehicles.





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