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VW takes world sales crown from Toyota for first half of 2015

Despite uncertainty in major markets like Russia and China, Volkswagen is wearing the global sales crown for the first half of the year to overtake Toyota. Through the first six months of 2015, VW sold 5.04 million vehicles, which only narrowly beat its Japanese rival's 5.02 million, Reuters reports. The half-year trophy also placed the German brand one step closer to the goal of being the world's largest automaker. VW can't just cruise through the second half of 2015 to continue wearing the crown, though. The company is a major player in China, and that might start to be a disadvantage soon. Auto demand there is expected to be weak for the rest of the year, which could mean dire effects for companies around the world. According to Reuters, the Western European market shows few signs of a sudden surge, either. To turn things around, VW is working on a massive realignment to be more responsive by organizing its 12 brands under four separate holding companies. One factor in VW's favor is that Toyota is facing its own sales struggles across the globe. In the last fiscal year, the Japanese automaker had growing profits but actual volume was down. At the time, the company predicted a drop to 8.9 million vehicles for the current fiscal period. According to Reuters, Toyota has had problems growing in emerging markets and dealing with higher taxes on small vehicles in Japan. For all of 2014, Toyota held the sales trophy with 10.23 million sales, and VW was in second place with 10.14 million. General Motors came in third with 9.92 million. The year was the first time that VW or Toyota had ever surpassed 10 million vehicles over the stretch of a calendar. Related Video:

Peugeot will prove it doesn't offer cheater diesels

Our diesels are clean, really. That's the message from French automaker PSA/Peugeot-Citroen as it plans to go on the offensive in response to Volkswagen's diesel-emissions scandal. PSA will go out of its way to prove its diesels are as clean as advertised. The company is looking at disclosing "real-world" fuel-economy statistics as soon as next spring and will use an independent entity to vet the numbers, Automotive News Europe says, citing comments that PSA/Peugeot-Citroen financial chief Jean-Baptiste de Chatillon made to reporters this week. Such efforts may be vital, since roughly two-thirds of the vehicles Peugeot-Citroen sells in Europe are powered by a diesel engine. Last month, VW admitted that as many as 11 million of its diesel-powered vehicles were programmed with software designed to cheat emissions-testing systems. The news shook up the industry, especially companies that sell a good chunk of diesels. The EU itself may start instituting "real world" fuel-economy and emissions testing as soon as 2017. French regulators have said they may eliminate diesel-fuel subsidies that currently make diesel fuel cheaper to customers than gas. That adjustment may occur as soon as next year, since it's been pushed up in response to the VW scandal. Peugeot-Citron continues to reiterate that it has never installed software that was designed to cheat emissions-testing systems. Additionally, the automaker was more than a decade ahead of European Union mandates for engine components designed to cut soot emissions, so the company is hoping its track record makes a difference. It wants to be perfectly clear about that. News Source: Automotive News Europe-sub.req.Image Credit: Cletus Awreetus/Flickr Green Volkswagen Citroen Peugeot Diesel Vehicles vw diesel scandal France psa peugeot citroen

Volkswagen Diesels: Buy, sell, or hold?

Everyone who owns or has remotely considered a Volkswagen diesel over the past 45 days has tried to figure out the right formula. Is it worth buying after the recall? If I own one, should I sell it? How will it perform if I want to keep it? Questions create doubts, and doubts create a stunning lack of activity when it comes to the new and used car market. I seriously doubt Volkswagen will be rolling out its 2016 TDI models anytime soon. The company already failed to create a fix nearly a year ago and has spent an unusually long amount of time trying to get the formula right. There's also the fact that it rescinded its EPA application for 2016 models. I can't provide the ultimate oracle's guide on whether any recalled Volkswagen diesel will fall under the "good value" perceptions of car buyers. But I do believe four factors in particular will be largely independent of the outcome of that recall, and they're what you should pay particular attention to if you plan on buying any Volkswagen diesel – new or used. 1. Demand Creating Bad Supply There are a large number of car buyers who believe that they can zig while the marketplace tells them to zag. Unfortunately, those are the ones that get sent to the slaughter once articles like the one linked above proclaim, "resale values are down 13 percent." These heavily biased write-ups ignore the fact both the supply and demand of new and used recalled Volkswagen diesels are no longer operating in that free market. The supply side is obvious since the EPA has put a stop-sale on all Volkswagen diesels. However, on the demand side, those Volkswagen dealers who have exclusive access to off-lease vehicles and certified pre-owned programs for 2012 and newer VW diesels are now sitting on the sidelines with all those cars. When your best players no longer play, consumers don't come to the ballpark. What exists right now is a lot like a professional sports strike where the talent sits out until a collective agreement is reached. When your best players no longer play, consumers don't come to the ballpark. The marketplace only offers scabs that can play an inferior game. In the wholesale car business, the scabs are salvage vehicles that are wrecked or flood damaged, vehicles that can't be put under a CPO program due to frame damage and lemon law requirements, and the wholesale repossession market. All of these substandard vehicles make up the new supply, the collective underbelly of low-end quality in the used car marketplace.