Reuters - Video

Edition: US | UK | IN | CN | JP

Finance Videos

Can carmakers cope with new regulation?

Monday, March 21, 2016 - 01:38

Six months after VW's emissions scandal came to light, other car manufacturers may also fail to meet the industry's tough new emission targets and suffer large fines, according to a new analysis. Grace Pascoe reports.

▲ Hide Transcript

View Transcript

The words 'emission' and 'scandal' have been an unhappy combination for the last six months. Since Volkswagen's 'dieselgate' revelations came to light. Now a CDP report says other car manufacturers could fail to meet the industry's tough new emission targets Potentially facing large fines. (SOUNDBITE) (English) CDP, CHIEF EXECUTIVE OFFICER, PAUL SIMPSON, SAYING: "It's the perfect storm happening here. You have governments agreeing the Paris agreement to limit warming from climate change to less than 2 degrees. We have cities increasingly concerned about air quality. And then the Volkswagen scandal meaning the regulators and the testing of emissions getting a lot tougher. Those three things we think means the industry absolutely has to change." CDP analysed 15 of the world's largest automakers Finding some are going above and beyond to tackle emissions. But found seven car makers that could face up to $4.8bn in potential penalties (SOUNDBITE) (English) CDP, CHIEF EXECUTIVE OFFICER, PAUL SIMPSON, SAYING: "The two really to focus on are GM and Ford because they have some 3 billion dollars at risk in penalties from not meeting the targets. The car in front is a Nissan, closely followed by Renault, BMW and Toyota." The European Commission is redoubling efforts to tighten emission regulations. But it's stopped short of proposing an independent regulator along the lines of the U.S. Environmental Protection Agency The body that forced VW to admit its use of defeat devices.

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

Can carmakers cope with new regulation?

Monday, March 21, 2016 - 01:38