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VW Ready to Open Talks with U.S. Dealers on Diesel Compensation?
Volkswagen AG has agreed to begin negotiations with its U.S. dealers about compensating them for financial damages inflicted upon them by the company’s diesel emission test cheating scandal, dealers tell Automotive.
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Volkswagen AG has agreed to begin negotiations with its U.S. dealers about compensating them for financial damages inflicted upon them by the company’s diesel emission test cheating scandal, dealers tell Automotive News.
The company’s 650 U.S. dealers have been barred from selling diesel-powered vehicles, including those already on their lots, since the cheating was revealed in mid-September. Diesels normally account for about 20% of the company’s U.S. sales. The scandal also has sapped the value of VW franchises.
The group broached the idea of relief packages to VW executives during the National Automobile Dealers Assn. meeting six weeks ago. A committee representing the dealers tells AN no formal talks have begun, but it says preliminary discussions are “likely” to begin in a few weeks.
VW hasn’t confirmed the upcoming parley, telling the newspaper only that VW is committed to the American market, appreciates its U.S. dealers and remains focused on resolving the diesel emission issue.
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