Volkswagen under investigation over illegal software that masks pollution

[Buzy_Robot]

... Yep, they're going to keep selling like hot cakes.

Not like hot cakes, but if people can get beyond the demonisation of the brand, the hysteria of the mainstream media / social forums and feel they can trust VW, they will sell at a steady pace to those who look at the facts in an objective manner. Such a shame VW have been so unethical because they have tainted a fine range of vehicles.

[Umai Naa!!]

The diehards, like most of us on here, will still buy them.

[Swallowtail]

The diehards, like most of us on here, will still buy them.

Yep... problem is the as yet unknown impacts on brand value; resale market and value; impact on pipeline development and future vehicles from spending 10s of billions of rectification and fines instead of R&D; potentially reduced dealer presence due to reduced sales; the list is as yet not complete and not understood.

I was / am looking at a Touareg R-Line - it's a $120K vehicle. A 10% reduction in resale at 4 years is about $5k... it's a very real possibility - across the entire range, not just those with the affected engines. How VW Aus approach the next few months will be telling, and will dictate whether people (including me) buy or play it safe and go another path.

[Transporter]

I was / am looking at a Touareg R-Line - it's a $120K vehicle. A 10% reduction in resale at 4 years is about $5k... it's a very real possibility - across the entire range, not just those with the affected engines. How VW Aus approach the next few months will be telling, and will dictate whether people (including me) buy or play it safe and go another path.

I don't think that $5,000 less on the resale value, if you're looking at $120,000 vehicle plays any role. Especially when you can afford to buy a new one every 4 years.

[Swallowtail]

I don't think that $5,000 less on the resale value, if you're looking at $120,000 vehicle plays any role. Especially when you can afford to buy a new one every 4 years.

Hi transporter - long time no chat...

I humbly beg to differ... and btw getting a leased car is not a case of being able to 'afford' a new one every 4 years. Looking at a leased car as part of a package, future value is absolutely part of the consideration. As are some of the other aspects I mentioned. What if the impact on resale is $10k? $15k? What if VW gets so 'on the nose' that selling diesel VWs drops out of the market? What does that do to resale for people trying to sell their VWs then?

Just because all here are VW fans (or most at least ) don't lose sight of the fact that a lot fewer people are buying VWs or waiting as a direct result of this. The next round of car sales figures will be telling.

I'm undecided on my purchase (which was going to be for a Touareg and a Golf 110TSi), and I am absolutely certain that I will not be the only one... I'm waiting to see what happens to new car sales figures, resales, recall / remediation action.

[Buzy_Robot]

It just staggers me that some rogue elements in the organisation have badly tarnished the Volkswagen brand. It certainly doesn't help that so many commentators who pontificate in an elementary manner forget that a lot of decent hard working people will suffer as well. All the way from honorable board members to the factory floor through to local dealers like ours here in Australia. Volkswagen fans like us are also feeling the full force of this massive backlash. So many of you raise valid questions about resale values, trusting the brand, sales figures etc. I will certainly have to weigh my options very carefully later this month if I'm really going to trade-in my B7 Passat for a B8 Passat. What would sway me to stay with Volkswagen or move to Mazda or Subaru? The knowledge that Volkswagen will really follow ethical corporate practices and exemplify best practice in customer service. In other words, a company that can be trusted by its loyal customers. Time will tell...

[hoi polloi]

My 2.2¢ worth...

Bought my 2.0 TDI in 2010... Wasn't particularly wedded to having a diesel but there were issues brewing with the twin charge 1.4 that sent me that way. Not a greenie or anything (I don't think you'd buy any car if you were) but my budget at the time did not stretch to a GTI. In light of this controversy I still like the torquey nature of the diesel and the car's still great to drive. The thing is, the better petrol engines are good in this regard too...

I think poeple rushing to sell their cars now are acting rashly - best to wait and see how things pan out.

My overriding thought is that what made VW think they were not gonna be found out?

- A.

[Hillbilly]

My thoughts are Wait and see and dont try to guess whats going to happen.

Another thought is, how many other manufacturers maybe have done it and havent been caught.

[Swallowtail]

I think poeple rushing to sell their cars now are acting rashly - best to wait and see how things pan out.

This.

Additional thought... imagine you've just paid $35k + for a diesel Golf... VW fix the issue and put them back on sale, but no-one's buying them any more, so to stimulate sales they offer a 6-month campaign knocking $3k off the price plus extended warranty to get them moving and get sales momentum going again. Simple economics tells that affects the resale of every affected car that is already in the market, even once the current technical issues are resolved. Even out 3 to 5 years now there are a bunch of Golfs with extended warranty available, again further damaging resale of existing cars.

The damage has been done already - the questions are how VAG will ride it out, recover, learn, and attempt to minimise the damage to themselves, existing and future customers. And for that as hoi polloi said, only time will tell.

[bluey]

Rather interesting article with some historical context to the beginning of EA189:

Volkswagen's Little Engine That Couldn't — NOVA Next | PBS

And a timely presentation on TDI emissions by TDIMeister (who IIRC is a german engineer)
http://pics3.tdiclub.com/data/4156/T...EF_and_SCR.pdf

Presentation by Jens Hadler (Head of Drivetrain Engineering, VW until 2011) on innovative VW engine technology (in German - but straight from the horse's mouth)
http://www.kvm.tul.cz/getFile/id:2039