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Ex-Fiat exec: VW diesel scandal will hurt plug-in hybrids

It doesn't sound right at first blush, but former Fiat executive and noted diesel-powertrain expert Rinaldo Rinolfi thinks that plug-in hybrid sales may be more impacted by the VW diesel-emissions scandal than diesel sales. Rinolfi, who worked for Fiat for 40 years, told Automotive News Europe, said that the Euro 6 emissions rules that went into effect in 2015 have already increased diesel-engine production costs enough to raise prices and ultimately flatten demand. By the end of the decade, diesel-vehicle sales will settle in at a 40-percent market share of new European vehicles, and that was going to happen with or without the scandal. "Every carmaker has found ways to achieve fuel consumption and emissions results that have progressively diverged from the real driving conditions." - Rinaldo Rinolfi Makers of plug-in hybrids have more to lose, though, because every PHEV maker has figured out a way to keep emissions figures artificially low, Rinolfi said. Under New European Driving Cycle (NEDC) standards, PHEVs can be tested part of the time with the electric motor in action, meaning emissions get driven down to 30 percent to 40 percent less than real-world figures. With the VW scandal pushing regulators to use real-world figures, those PHEV emissions numbers are expected to rise substantially. To a lesser extent, hybrid emissions figures are also tested as artificially low. "Over the years, even without defeat devices, every carmaker has found ways to achieve fuel consumption and emissions results that have progressively diverged from the real driving conditions the customer experiences," Rinolfi said in the Automotive News Europe interview. Rinolfi is a little sunnier about compressed natural gas (CNG) vehicles, estimating that CNG emissions are as much as 25 percent lower compared to conventional vehicles. As for battery-electrics, he's not so optimistic, estimating that there needs to be at least a tenfold improvement in energy efficiency for EVs to be truly competitive with conventional vehicles. "I've been waiting for a true breakthrough for the past 25 years, but I've not seen it yet," Rinolfi said about EVs in the Automotive News Europe interview. Related Video: News Source: Automotive News Europe-sub.req.Image Credit: Arnd Wiegmann / Reuters Green Fiat Volkswagen Diesel Vehicles Electric Hybrid diesel emissions scandal nedc

UAW Falls 87 Votes Short Of Major Victory In South

Just 87 votes at the Volkswagen plant in Tennessee separated the United Auto Workers union from what would have been its first successful organization of workers at a foreign automaker in the South. Instead of celebrating a potential watershed moment for labor politics in the region, UAW supporters were left crestfallen by the 712-626 vote against union representation in the election that ended Friday night. The result stunned many labor experts who expected a UAW win because Volkswagen tacitly endorsed the union and even allowed organizers into the Chattanooga factory to make sales pitches. The loss is a major setback for the UAW's effort to make inroads in the growing South, where foreign automakers have 14 assembly plants, eight built in the past decade, said Kristin Dziczek, director of the labor and industry group at the Center for Automotive Research, an industry think tank in Michigan. "If this was going to work anywhere, this is where it was going to work," she said of the Volkswagen vote. Organizing a Southern plant is so crucial to the union that UAW President Bob King told workers in a speech that the union has no long-term future without it. The loss means the union remains largely quarantined with the Detroit Three in the Midwest and Northeast. Many viewed VW as the union's best chance to gain a crucial foothold in the South because other automakers have not been as welcoming as Volkswagen. Labor interests make up half of the supervisory board at VW in Germany, and they questioned why the Chattanooga plant is the company's only major factory worldwide without formal worker representation. VW wanted a German-style "works council" in Chattanooga to give employees a say over working conditions. The company says U.S. law won't allow it without an independent union. In Chattanooga, the union faced stern opposition from Republican politicians who warned that a UAW victory would chase away other automakers who might come to the region. Sen. Bob Corker of Tennessee was the most vocal opponent, saying that he was told that VW would soon announce plans to build a new SUV in Chattanooga if workers rejected the union. That was later denied by a VW executive, who said the union vote had no bearing on expansion decisions. Other state politicians threatened to cut off state incentives for the plant to expand if the union was approved.

VW planning 20 new plug-in models for China

With just about everything getting super-sized for China, Volkswagen is following suit with its plug-in vehicle plans for the world's most populous country. VW, Europe's largest carmaker, is looking to sell more than 20 different plug-in models in China within the next four years, Reuters says, citing comments Volkswagen Group China head Jochem Heizmann made in Shanghai. The company is hoping that translates to sales of more than 100,000 plug-ins in China by the end of the decade. Go big or go home, right? There's a huge plug-in vehicle opportunity in China, especially given the bad pollution situation in cities like Beijing and Shanghai and the Chinese government's incentives for plug-in vehicle buyers. Volkswagen CEO Martin Winterkorn said at the Beijing Motor Show this spring that the company would spend $25 billion on at least a half-dozen plug-in models for China by 2018. VW will start selling the e-Golf in China this year and the Golf GTE plug-in hybrid in 2015. VW said in August that it would start selling the e-Golf in the US for about $35,500 in November. That's a $6,500 price hike from the base Nissan Leaf.