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Last week, during a meeting concerning the company’s U.S. strategy, with the VW AG executives in Germany, Volkswagen’s U.S. dealers required reparations from the automaker for financial damages caused by the company's emissions violations.Though it is too early to discuss the size of any settlement so soon after pitching the proposal, it is evident that a special strategy for how Volkswagen is going to approach the dealer network on franchise damages, is needed. The prospect of reparations will be among the pressing topics to be addr...
As a punishment for pollution from Volkswagen's cars after the automaker cheated on diesel-emissions tests, a national remediation fund and a separate one for California is likely to be established. Volkswagen Group is now in talks with U.S. authorities on this matter.The national fund would be administered by the Environmental Protection Agency and used to promote clean transportation throughout the U.S. The other would be run by California to promote zero-emission vehicles in the state. Negotiations are continuing and many details are still being determined. Through a...
The modern auto industry races toward a driverless future and the companies developing autonomous cars are rushing the technology to market. But robotics and human interaction experts urgie automakers and regulators to pump the brakes.The main problem is that the production autonomous cars are brought to the market with limited technology demonstrations rather than rigorous testing in extreme operating conditions. Some 275 million miles of fatality-free autonomous car testing is needed to ensure the safe operation of these vehicles on public roads. The m...
Tesla Motors Inc continues its battle with local dealers: on Wednesday the Virginia Automobile Dealers Association (VADA) filed a lawsuit against Tesla, to keep the electric car maker from opening a second dealership in the state. According to VADA Virginia state officials and Tesla would violate a 2013 agreement that Tesla could not consider owning and operating a second dealership in Virginia until at least August 2017. Tesla opened a dealership in Tysons Corner in the relatively affluent area of northern Virginia, in February 2015. According to VADA repres...
Fiat dealers in the U.S. will be allowed to combine operations with adjacent Chrysler-Jeep-Dodge-Ram stores. This is a part of Fiat Chrysler's new plan aiming to boost the sales of the brand.This strategy could save a retailer selling 15 new Fiats a month an average of $180,000 per year in duplicate third-party vendor expenses. Dealers who decide to stick with the existing stand-alone Fiat showroom will receive about two-thirds of the savings as well as other benefits to their monthly operations. FCA will also simplify its underperforming Fiat produ...
