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US prepares to sue Fiat Chrysler over diesel emissions testing

NEW YORK - The Justice Department plans to file a civil lawsuit against Fiat Chrysler Automobiles NV over excess diesel emissions as early as this week if no agreement is reached with the Italian-American automaker, two sources briefed on the matter said on Wednesday. The Environmental Protection Agency in January accused FCA of illegally using undisclosed software to allow excess diesel emissions in about 104,000 cars and SUVs, the result of a probe that stemmed from regulators' investigation of rival Volkswagen AG. The EPA and California Air Resources Board have been in talks with FCA about the excess emissions and whether the agencies would approve the sale of 2017 FCA diesel models. A federal judge in California has set a May 24 hearing on a series of lawsuits filed by owners of vehicles against Fiat Chrysler and the Justice Department is expected to file its action by then if no agreement is reached. FCA said on Wednesday it believed that any litigation would be "counterproductive" to ongoing discussions with the EPA and California Air Resources Board. The company added that "in the case of any litigation, FCA US will defend itself vigorously, particularly against any claims that the company deliberately installed defeat devices to cheat U.S. emissions tests." The Justice Department took the same procedural step in early 2016 against Volkswagen, nearly four months after the German company admitted using software to emit excess diesel emissions in nearly 500,000 vehicles. The Justice Department has had an ongoing criminal investigation into FCA's conduct since last year, Reuters reported in January. The probe has turned up internal emails written in Italian and other documents about engine development and emissions issues, sources briefed on the probe said. U.S. regulators said FCA failed to disclose engine management software in 104,000 U.S. 2014-2016 Jeep Grand Cherokees and Dodge Ram 1500 trucks with 3.0-liter diesel engines. The European Commission has launched legal action against Italy for failing to respond to allegations of emission-test cheating by Fiat Chrysler in a procedure that could lead to the country being taken to court. The EPA has said the maximum possible fine against FCA could be $4.6 billion. In February, FCA said it had received requests for information and subpoenas from U.S. federal and state authorities, including the Securities and Exchange Commission, for diesel issues.

VW worker killed in robot accident

A 21-year-old worker died from injuries after being struck by the robot that he was installing at Volkswagen's factory in Kassel, Germany. According to The Financial Times, the man was inside the safety cage surrounding the machine when he was hit in the chest and pressed against a metal plate. Emergency crews took him to a local hospital, where he died. That man's name hasn't been released, but he was reportedly a third-party contractor, rather than a direct employee of VW. A second person was also installing the robot when the accident happened. This individual was farther away and wasn't harmed, according to The Financial Times. The local newspaper reported that the incident took place in a part of the plant used for producing electric motors. The local prosecutor has opened an investigation into whether there was any negligence involved. According to Volkswagen, the Kassel factory is one of its main hubs of transmission production and employs around 15,500 people. The motors and batteries for the e-Up and e-Golf are also made there. In 2008, VW built its one-millionth DSG gearbox at the plant. Related Video:

Despite EV push, Audi will lead hydrogen for VW Group

The cynics among us will assume that Volkswagen Group would rather not affix its flagship brand name to its main hydrogen fuel-cell efforts in the wake of that German automaker's diesel-emissions scandal. Instead, there's less of a taint in having those efforts led by VWs Audi division. And that's exactly what's going to happen, reportedly. Audi will lead Volkswagen's way towards selling hydrogen fuel-cell vehicles to the general public, Automotive News Europe reports, citing comments Audi's new development head Stefan Knirsch recently made at VW headquarters in Germany. That first effort may come in the form of the H-Tron Quattro concept SUV that Audi unveiled at the Detroit Auto Show in January. That model is slated to have a 373-mile range on a full tank of hydrogen (using the optimistic European driving cycle) and includes a rooftop solar panel that can add 621 miles a year via sun rays. And true to Audi's performance-driving bent, the car will offer up to 282 horsepower and 406 pound-feet of torque, for a 0-62 miles per hour time of under seven seconds. Audi will also look to cut production costs by reducing precious metals such as platinum in fuel-cell stacks. As for plug-in vehicles, Audi said at last November's Los Angeles Auto Show that as much as 25 percent of new Audis will be plug-in vehicles by 2025. A month later, Audi said that the A3 E-Tron, which was launched in Europe in late 2014, was already accounting for a quarter of Audi sales in the Netherlands and Norway. Related Video: Featured Gallery Audi H-Tron Concept View 25 Photos News Source: Automotive News Europe-sub.req. Green Audi Volkswagen SUV Hydrogen Cars