Luxury Diesel Vehicles Added to VW’s Recall List



Volkswagen’s diesel engine scandal is quickly becoming a never-ending train wreck.

The EPA has just filed a notice of violation of the Clean Air Act. The notice alleges that Volkswagen’s defeat software was also installed in the engine control systems of three-liter, six-cylinder diesel engines installed in the 2014 Touareg models, as well as 2015 Porsche Cayenne and 2016 models of Audi A6, A7, A8, A8L and Q5.

Now, these high-end vehicles present a much smaller number of affected units, about 10,000 in the US. But the notice affects a high-end buyer demographic possessing large amounts of disposable income with many options to choose from when shopping for luxury sedans and SUVs.

According to Volkswagen’s new CEO, Matthias Müller, the original two-liter diesel engine issue will be addressed starting in January of next year. The cost will probably be colossal and Volkswagen is halting other non-essential investments in order to pay for the recall.

The addition of the three-liter, six-cylinder engines to this list won't break the company, but it does suggest that the scandal may be broader than originally thought.

It’s widening even as I speak, with some European gasoline models now under investigation for high CO2 emissions.

It’s worth noting that the latest issue was reported by VW itself, who is sensibly trying to drag all the skeletons out of its closet now, so it can start the multi-billion-dollar process of rebuilding the brand.

Last Friday, the company announced that those employees who confessed to complicity in the rigging scandal will be offered amnesty from being fired, according to German newspaper Süddeutsche Zeitung. The high-level executives, however, are not protected.

On this side of the Atlantic, as the EPA investigates further, the best-case scenario for Volkswagen is if another car maker runs afoul of the regulations, especially one of the Detroit three or a Japanese manufacturer. At this point, there is no indication that any other manufacturer had cheated the EPA’s emission-testing regime and if that is the case then it may take years for VW to correct its brand.

Just as significantly, this scandal may destroy the reputation of diesel engines as a concept, especially in North America. That would be a shame, because the extraordinary thermal efficiency of common rail turbo diesels combined with their reputation for durability should make an ideal power plant for almost any petroleum-powered car or truck.

Now, Fiat Chrysler has a new light-duty diesel RAM pickup which is selling very well. The Chevrolet Cruise diesel is being praised by the automotive press.

So why can’t diesels catch a break in North America?

For years the fault lay with General Motors, who produced a series of truly horrendous V8 diesels in the late 70s and early 80s for its Oldsmobile brand.

But that was a long time ago and with the undeniable advantage of modern diesel engine technology, it’s a mystery why they don’t sell well on this side of the Atlantic.

Now Volkswagen’s malfeasance might shove diesel technology onto the back burner for a couple of decades.

In the meantime, Band-Aid technical fixes like add-on urea injection systems are, in my opinion, the wrong way to address the Volkswagen issue.

A more sensible strategy would be to calculate the amount of additional oxides and nitrogen being emitted by the affected diesel engines, and then let Volkswagen engineer super-clean gasoline and diesel engines for 2017 and beyond which under-pollute enough to make the environmental impact net balance out to zero.

The environment doesn’t care how it gets clean, only that it does. Logically, any combination of retrofitted existing engines and clean sheet design should do the trick.

This doesn’t help current owners of affected vehicles, but there exists a real risk that those owners will not pursue the retrofit fix anyway. The effectiveness of the fix is uncertain and the cars’ driveability could definitely be affected. The resale value of those vehicles certainly will be.

It’s a bad situation, but Volkswagen will survive. In the meantime, let’s hope the scandal can pass and diesels can become the internal combustion engine of choice everywhere.