VW shift more focus on Chinese market after its “American Dream” shattered for falsification in pollution tests

   Date:2015/09/25

The scandal of falsification of pollution tests for diesel cars has engulfed VW, who has admitted that it installed software on 11m of its diesel cars worldwide, which allowed them to pass America’s stringent nitrogen oxides (NOx) -emissions tests. Around 482,000 diesel vehicles of the German carmaker have committed over emission of NOx, which could cause large numbers of early deaths—perhaps 58,000 a year in America alone, one study suggests. This misdemeanor of years-long history will put the enterprise into 18 billion US dollars fines and other related penalties.

VW has been asked by US government to recall these nearly 500,000 vehicles in America and to suspect sales for some models. This serious of issues convulsing the whole motor industry has shattered the German’s carmaker’s “American Dream”, in which the company expected to have doubled the sales by 2018.

Yet, fortunately American and North America markets account for only a part of its global market. The enterprise still have the trust of consumers in its mega market China. The automaker’s sales in America last year is 367,000 units, less than tenth that in China. Thanks to the popularity among Chinese consumers, VW has sold 4 million vehicles in China, where the carmaker holds an unshakable leading position. Chinese market sales account for one third of the carmaker’s overall sales. Chinese market helped VW achieve in advance for four years the sales target of 10 million units.

Therefore, the issue on top of the agenda after saving fame from being shattered is to affirm the sustainability and health for its development in China. It can be obviously felt that the attitude of the carmaker has improved much compared with years ago towards Chinese auto consumers when handling some pupping problems in the country.

Source:Gasgoo

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