Global scandal, local reach: a look at the impact of VW's emissions debacle on Kiwi sales

  • Business
  • November 30, 2015
  • Erin McKenzie
Global scandal, local reach: a look at the impact of VW's emissions debacle on Kiwi sales

It's been a rocky year for German carmaker Volkswagen, with data from CNN money showing that global car sales fell 5.3 percent in October after news of the emissions scandal broke. But have these shockwaves stretched across the world to also affect sales in the local market?   

Last month, Volkswagen AC in Germany confirmed seven percent of the 75,000 Volkswagens on New Zealand roads were affected by the emissions software issue (see here the Volkswagen scandal explained in two minutes).

But it appears the effects are not limited to the 5,548 cars already on the road. Statistics from the Motor Industry Association of New Zealand Inc reveal the number of registrations for passenger Volkswagen’s dropped 19 per cent from September to October, giving the company its lowest monthly sales this year, just 253.

New Zealand sales are also down 17 per cent compared to the 307 in October last year. The international equivalent saw a drop of 30,000 sales according to CNN Money.

Juergen Stackmann, Volkswagen’s board member responsible for sales, told CNN Money halted sales of some of its models soon after the scandal broke in September.

"The temporary sales stops for vehicles affected by the diesel issue had an impact on sales."

In a release this week Volkswagen AG (Germany) said the clarification and solution of the diesel issue is progressing.

“This means that correction measures have been fixed for the majority of the vehicles affected.”

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