The Complete Guide to the VW Emissions Scandal
Ripple effect- How the emission problem affects consumers, the whole industry
Due to the public scrutiny that Volkswagen is currently experiencing, other car manufacturers that also manufacturer and issue vehicles that run on diesel engines are feeling the heat. Two other manufacturers are being questioned in line with the Volkswagen scandal- Daimler and BMW. In fact in one of the tests conducted on Volkswagen vehicles, the other brand that has been tested was BMW X3. In the said test, it was found out that the X3 SUV was also guilty of excessive emissions. According to the International Council on Clean Transportation, this German SUV is also an emissions violator, emitting 11 times more than what European regulators require. Due to this revelation, the general public’s appreciation of BMW dipped, and the company stocks took a dip by as much as 10 percent. The stock value immediately rebounded immediately after the company denied the allegations. Daimler also took a hit, with the stocks dipping to as much as 13 percent.
The current problem of Volkswagen is definitely not just an internal problem of the company. What’s clear from the situation is that the issue has become global, affecting the other major car players and manufacturers including BMW and Daimler. And if these two companies are cleared, then they can benefit from this momentary hiccup in sales. There’s a big chance that Volkswagen can lose some ground when it comes to sales, due mainly to its poor-performing diesel engines and tarnished brand. But to say that the company will be out and dying will not happen. The company will definitely bounce back from the issue, and return stronger than ever. Also, this issue only underscores what engineers and insiders know all along- it’s difficult to be and stay green.
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