Reuters - Video

Edition: US | UK | IN | CN | JP

Finance Videos

Renault recall and new VW charges

Tuesday, January 19, 2016 - 01:39

French carmaker Renault will recall more than 15,000 vehicles to bring their engines into line with emissions standards. As Hayley Platt reports, the news emerged after South Korea said it plans to file a criminal complaint against a local Volkswagen chief over the emissions scandal at the German automaker.

▲ Hide Transcript

View Transcript

News that fraud inspectors had visited three Renault sites to look at emissions technology sent the car maker's shares plunging last week. No evidence of any cheat devices was found. And now there's a new development French Energy Minister Segolene Royal. (SOUNDBITE) (French) ENERGY MINISTER, SEGOLENE ROYAL, SAYING: "Renault has committed to recalling, more than 15,000 vehicles, to check them and adjust them correctly so the filtration system works even when it is very hot or when it is below 17 degrees." Renault's also planning a software upgrade to cut nitrogen oxide pollution from its diesel engines. They've come under fire for their relatively high emissions in the wake of the Volkswagen test-rigging scandal. ETX Capital's Joe Rundle. (SOUNDBITE) (English) ETX CAPITAL, HEAD OF TRADING, JOE RUNDLE, SAYING: "You'll get a bunch of class action suits also probably being filed against Renault so I think the problems are sustained." There was more bad news for VW. South Korea is filing criminal charges against the MD of Audi Volkswagen Korea after rejecting VW's recall plan. (SOUNDBITE) (English) ETX CAPITAL, HEAD OF TRADING, JOE RUNDLE, SAYING: "We saw it with BP that it went from fines to criminal to individual criminals and I think that will happen again with the car manufacturers. The management will try to distance themselves to individuals within the company, they will get criminal charges, it will then transpire probably that it was company sanctioned, so it's a mess that needs shaking out." In November South Korea fined VW almost $12 million and ordered a recall of over 125,000 vehicles. The two sides are still arguing over how best to fix the problem.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Renault recall and new VW charges

Tuesday, January 19, 2016 - 01:39