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Volkswagen's emissions deception brings more scrutiny to entire industry

Volkswagen's emissions deceptions have hurt the entire auto industry's credibility with federal regulators. Days after the world's largest automaker confessed to installing software that circumvents emissions standards on approximately a half-million diesel vehicles in the United States, a top federal safety official says the company's dishonesty will force government officials to view the entire auto industry with heightened skepticism. "Your first question has to be, 'How extensive is it through the whole industry?' You don't know if it's a unique case or if other people are doing it," said Mark Rosekind, administrator of the National Highway Traffic Safety Administration. "The unfortunate part is you're not going to worry about one person. It's extended to the entire industry. If they did it, someone else could do it." "They tell you one thing, you question it." - Mark Rosekind Rosekind's agency doesn't bear responsibility in investigating the emissions cheating. That falls to the Environmental Protection Agency, which served Volkswagen with a Notice of Violation on Friday that alleged the company's diesel vehicle equipped with 2.0-liter engines contained a defeat device that allowed the cars to detect when emissions testing was taking place. In normal driving situations, the cars spewed pollution at as much as 40 times allowable thresholds. But because of the emissions cheating, NHTSA wonders if the German automaker has been cutting corners on safety standards or disingenuous on safety-related discussions. Speaking at an auto-industry event in Novi, MI, on Tuesday, Rosekind indicated no information can now be taken at face value. He used the phrase "Question assumptions" several times in discussing the case. "Of course, question assumptions means, 'Is there some other safety element there that we're now going to have to investigate?" he said. As it did in the General Motors ignition-switch probe, the Department of Justice has initiated an investigation of Volkswagen and the House Committee on Energy and Commerce announced it will hold hearings on the cheating. For NHTSA, criminal cases complicate matters. The agency core function is to regulate safety, not conduct criminal investigations. But in the early going, their investigators may be the first ones to spot wrongdoing.

VW expanding in Chattanooga, hiring workers ahead of SUV production

Hey, look! We're writing about Volkswagen's Chattanooga, TN factory and the focus isn't on yet another unionization effort. That's because the big news at the still-new factory is VW's plan to expand and increase its workforce in preparation for the arrival of the German brand's long-awaited midsize crossover. The expansion, which will add over half a million square feet of factory space, overhaul the assembly, body and paint shop and add 2,000 employees to the factory's ranks, officially kicked off last month. "This is a very exciting time in the history of Volkswagen Chattanooga," president and CEO of operations at the plant, Christian Koch, said in a statement. "A lot of hard work is going into adding this second vehicle line to the plant, but it is crucial to our efforts to move forward in America." "Not only will Volkswagen's expansion create thousands of new jobs, it will strengthen their roots in our city," Chattanooga's Mayor, Andy Berke, said in a statement. "From the construction at the plant to the development of a visitors center, there is no doubt that Volkswagen is invested in Chattanooga." VW Chattanooga has been a constant in the headlines over the past few years as pro-union and pro-business interests have battled over the souls representation rights of its roughly 1,500 workers. Just over a year ago, the UAW was defeated in its initial unionization bid, although pro-labor interests have not gone quietly into the night. Construction is expected to continue for two years, with production of Chattanooga's second vehicle expected to commence in 2016. Scroll down for the official press release from Volkswagen. VOLKSWAGEN CHATTANOOGA'S PLANT EXPANSION UNDERWAY Feb 24, 2015 Construction Will Add 2nd Vehicle Line: New Midsize SUV CHATTANOOGA, Tenn. (Feb. 24, 2015) - Construction is underway at the Volkswagen Chattanooga manufacturing facility in preparation for production of an all new Midsize SUV. The first phase of construction started in early January 2015 and will continue for the next two years. Volkswagen Chattanooga CEO and President Christian Koch gave a site tour to Chattanooga Mayor Andy Berke and Hamilton County Mayor Jim Coppinger on Tuesday, highlighting the necessary expansion of the production areas in the body shop, paint shop and assembly areas.

CARB has 20 days to confirm VW's 3.0-liter TDI emission fix

VW's diesel scandal has been in the headlines since last September, but solving the problem it proving difficult. Volkswagen Group has submitted a proposal to the California Air Resources Board (CARB) and the Environmental Protection Agency (EPA) to fix about 85,000 vehicles with the 3.0-liter diesel V6 in the US, Reuters reports. CARB now has 20 business days to test if the plan actually reduces emissions. If accepted, VW could finally begin a recall and end the stop sale on vehicles with these engines. In a statement, CARB pledged to, "respond following a thorough and complete review to make sure the plan addresses the presence of the illegal defeat device and follows the necessary environmental, vehicle and public health and safety regulations." Neither CARB nor the EPA outlined the proposed repairs, but Porsche CEO Oliver Blume already suggested the fix for the engine in the diesel Cayenne. Examples from 2013 and 2014 allegedly need a new catalytic converter and software update, and those from 2015 and 2016 only need the improved code. It's not yet clear whether this procedure would work for all models with the 3.0 TDI. While the EPA issued the notice of violation against VW's 2.0-liter four-cylinder diesel in September, the first one for the 3.0-liter V6 came in early November. By the end of the month, the agency broadened the scope to about 85,000 vehicles, including some examples of the VW Touareg, Audi A6, A7, A8, Q5, Q7, and Porsche Cayenne. The affected companies issued stop sales on new models with the engine. Audi eventually admitted to regulators that it didn't disclose three auxiliary emission control devices in the powerplant's code and promised to develop a software update to fix the problem. CARB gave the automaker 45 business days to submit the proposed solution. If accepted, this repair would allow VW Group to end part of the emissions scandal, but there's no guarantee the regulators consent to this solution. Just a few weeks ago, CARB looked at the automaker's plan to fix the 2.0-liter TDI and rejected it, claiming a lack of detail.