AutoBeta(AutoBeta.net)04/21 Report--

Volkswagen Group in the "emission gate" incident accumulated fines, compensation and other losses as high as 31.3 billion euros (about 240.3 billion yuan), related litigation and compensation matters are still in progress.

According to foreign media reports, Volkswagen Group said that it has reached a settlement agreement with 200000 car owners in Germany, and they will receive corresponding compensation. The owners filed a class action lawsuit against Volkswagen through the German consumer association VZBV, accusing Volkswagen of manipulating diesel emissions tests.

It is understood that Volkswagen owners who accept the settlement will receive a settlement fee ranging from 1350 euros to 6250 euros (about RMB 1 to 50, 000 yuan) depending on their age and model, which is scheduled to begin on May 5. Volkswagen Group estimates that the total amount of compensation paid out this time will reach 620 million euros (about 4.76 billion yuan).

In addition, the owners of the settlement are only part of the lawsuit, and a total of 400000 diesel owners have filed class-action lawsuits against Volkswagen through the agency. Volkswagen has set aside 830 million euros for settlement and compensation.

It is said that the plaintiff owner will soon receive a binding agreement from Volkswagen and have two weeks to consider whether to accept the settlement. If they do not accept it, they can sue Volkswagen personally before October this year.

The settlement marks another step forward for Volkswagen in resolving the emissions scandal.

However, emissions gatekeepers will be a continuing "nightmare" for Volkswagen. Earlier, the British High Court formally ruled that Volkswagen used an inefficient device to help some of its diesel vehicles pass emission tests, a ruling that means consumers can file a class action against Volkswagen. According to statistics, as many as 90,000 British car owners have sued Volkswagen and filed financial compensation, involving owners of Audi, Seattle, Skoda and Volkswagen brands. At the same time, the class action will be the largest consumer lawsuit in British legal history.

Volkswagen Group was exposed in September 2015 that diesel exhaust tests were fraudulent, affecting 11 million diesel vehicles around the world. Almost all affected American car owners agreed to participate in Volkswagen's $25 billion settlement plan in 2016. The carmaker faces a number of lawsuits around the world, and the cost of paying fines, recalls and settlements has cost Volkswagen huge losses.

Volkswagen Group has lost 31.3 billion euros (240.3 billion yuan) so far in the emissions cheating scandal, according to official figures. Volkswagen expects the losses to last until 2021, and the group says it is ready for the money.

According to the 2019 financial report, Volkswagen Group's annual sales revenue was 252.6 billion euros, up 7.1% from the same period last year; operating profit was 17 billion euros, up 21.8% from the same period last year; and operating profit excluding special project expenses was 19.3 billion euros, up 12.8% from the same period last year. Special project expenditure includes fines and expenses for the settlement of the "emission gate" totaling 2.3 billion euros. It is worth mentioning that in the Chinese market, Volkswagen made an operating profit of 4.4 billion euros from joint ventures in 2019, accounting for nearly 30 per cent of the group's total profits.

Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat