German diesel deal runs into opposition from carmakers

Young journalists club

News ID: 29561
Publish Date: 15:34 - 02 October 2018
TEHRAN, October 02 -Owners of older diesel cars in polluted German cities should be able to choose between trade-in incentives and a hardware upgrade for their vehicles, German coalition parties agreed but the car industry swiftly raised objections.

German diesel deal runs into opposition from carmakersTEHRAN, Young Journalists Club (YJC) -Owners of older diesel cars in polluted German cities should be able to choose between trade-in incentives and a hardware upgrade for their vehicles, German coalition parties agreed but the car industry swiftly raised objections. 

After marathon talks, Chancellor Angela Merkel and leaders of her coalition partners announced in the early hours of Tuesday that they had agreed on a way to cut pollution in the worst affected cities while avoiding unpopular driving bans.

In their initial responses, manufacturers appeared to favor encouraging car owners to trade in their older diesel models for cleaner vehicles rather than carry out costly adjustments known as retrofits.

Volkswagen (VOWG_p.DE) had agreed to help with hardware retrofits but some details still need to be discussed while BMW (BMWG.DE) has refused such retrofits, German Transport Minister Andreas Scheuer said on Tuesday.

Daimler (DAIGn.DE), the maker of Mercedes cars, has said it could consider hardware retrofits but would concentrate on trade-in incentives of up to 5,000 euros ($5,755), Scheuer told a news conference.

“We are talking about a significant billion (euro) contribution that German carmakers will bring for these models,” said Scheuer.

Volkswagen’s (VOWG_p.DE) admission in 2015 that it cheated U.S. diesel emissions tests led to the discovery that diesel vehicles from several manufacturers routinely exceeded pollution limits in normal driving conditions, prompting a regulatory crackdown.

“We are creating the framework to avoid driving bans but we expect the car industry to offer possible retrofits and trade-ins,” German Environment Minister Svenja Schulze said.

Source: Reuters

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