Sale of 80 Volkswagen Group models suspended in Korea; carmaker slapped with RM64 million fine

volkswagen logo wm

It’s more bad news for the Volkswagen Group, as South Korean regulators have suspended sales of 80 model variants in the country, which includes Volkswagen, Audi and Bentley vehicles. The carmaker was also slapped with a fine of 17.8 billion won (RM64,635,773) due to allegations the Volkswagen Group rigged emissions test data for its vehicles.

At this point, the South Korean government has decertified 209,000 Volkswagen Group vehicles in the country since November last year due to the emissions scandal, according to a report by Automotive News. This makes up 68% of the vehicles the carmaker had sold in the country since 2007, the environment ministry said.

Getting these models back on sale will certainly take some time, which will further hurt the carmaker as the country is an important market for Volkswagen, especially with its luxury brands Audi and Bentley. “It usually takes three months for vehicle certification, but this may take longer for Volkswagen, as we will take thorough steps,” environment ministry director Hong Dong-gon said.

He added that if there are any delay in recalls previously ordered due to the scandal, Volkswagen could be ordered to exchange affected customer vehicles for other models. Prior to the government’s announcement of its decision, Volkswagen had voluntarily halted sales of most of its models in South Korea.

The company’s Seoul offices in the country were also raided by authorities, and even arrested an executive back in June. In a statement on its website, the carmaker said it would consider filing an “injunction of execution” against the government’s decision.

Looking to sell your car? Sell it with Carro.

Certified Pre-Owned - 1 Year Warranty

10% discount when you renew your car insurance

Compare prices between different insurer providers and use the promo code 'PAULTAN10' when you make your payment to save the most on your car insurance renewal compared to other competing services.

Car Insurance

Gerard Lye

Originating from the corporate world with a background in finance and economics, Gerard’s strong love for cars led him to take the plunge into the automotive media industry. It was only then did he realise that there are more things to a car than just horsepower count.

 

Comments

  • Goes down in the history … on a bad note !

    Like or Dislike: Thumb up 7 Thumb down 0
    • Kunta Kinte on Aug 03, 2016 at 6:03 pm

      Malaysian VW owners are worse off than the US, Korean and European VW Dieselgate owners. Here, Malaysians were cheated by VGM for years. About 8 years ago, when people complained about DSG issues, VGM denied.

      Every year since then, they have denied. Until 2014, when VW AG admitted in black and white that all DSGs cannot be used in hot countries and countries with bad jams.

      Pity VW owners in Malaysia. they have suffered even worse than the US and EU owners. If they can get compensation merely for dieselgate, Malaysian owners should be entitled for more cause in Malaysia, Malaysian owners have had NON STOP continuous breakdowns of their DSGs.

      Owners buy German, pay a premium for German but misled into buying a lemon that brings so much of problems. The whole purpose of buying a German is for quality and troublefree driving. Unfortunately Malaysian owners have to put up with non stop breakdowns.

      And again VGM lies by telling that if you use mineral oil, all your DSG problems will be solved. Not true. Many using mineral oil also still facing non stop problems of breakdowns. The sad part is, for high performance car, one should use synthetic and not mineral.
      Now, the biggest factor why VGM should pay compensation to all VW owners in Malaysia. Their RV jatuh to crazy levels. Because of the DSG gate scandal, no used car dealer want to touch any VW. 1 year old passats, sold for RM170k and now fetching only RM80k. But the worst part is, it is super difficult to sell. Put in mudah also, in 6 months, nobody even calls. Used car dealers also pantang want to touch it.

      Because sales are so bad, our hero VGM made it even worse by selling their passat, Jetta and Polo in their firesales for nearly half price for a brand new car.

      Somemore prices went down in the 2nd hand market. Now, those getting RM80k for their 1 year old passat, have to accept Rm60k, a big thanks to VGMs’s firesales action.

      VGM has caused a lot of heartache and pain to VW owners in Malaysia.

      It is high time lawyers take a class action suit to sue VGM and get some compensation for ALL VW owners in Malaysia

      Well-loved. Like or Dislike: Thumb up 83 Thumb down 1
      • kadajawi (Member) on Aug 03, 2016 at 6:50 pm

        Any sources that say they are having DSG issues after switching to mineral oil?

        Like or Dislike: Thumb up 3 Thumb down 10
        • camtakpro on Aug 03, 2016 at 9:23 pm

          Probably after fixing and changing to mineral, owners just dumped it else where and don’t look back.

          Like or Dislike: Thumb up 9 Thumb down 0
        • It came out from the rear hole when he drank too much sauce

          Like or Dislike: Thumb up 5 Thumb down 5
      • Noname on Aug 03, 2016 at 9:04 pm

        Harga Germany tapi kualiti sangat teruk..

        Like or Dislike: Thumb up 4 Thumb down 0
        • Bodo, beli Proton, kualiti lagi baloi….kenapa nak puji Jerman? Oh Wai!

          Like or Dislike: Thumb up 1 Thumb down 2
      • tkhengong on Aug 03, 2016 at 9:22 pm

        I could only sell my two-year-old Jetta (2014) bought at RM125K for RM55K following their “Drop Everything” sales campaign. VW sales personnel (from whom I bought my Jetta) did not even return my text message when I enquired to trade-in my Jetta for a Golf 1.4 Comfort Line. I finally settled for a 2016 Subaru XV.

        Like or Dislike: Thumb up 13 Thumb down 0
        • Hi , may i know why are u selling your jetta? Because it seems fine after changing to mineral oil and yours are 2014 jetta.

          Like or Dislike: Thumb up 0 Thumb down 0
    • Same L0rr on Aug 04, 2016 at 8:03 am

      Dont buy the Volkwagen, KIA, hyundai, Chevrolet & Proton. All this brand are bad RV in used car.. Please buy Toyota & Perodua.. Good RV!

      Like or Dislike: Thumb up 0 Thumb down 7
  • DSG hancoorr.. on Aug 03, 2016 at 4:55 pm

    Now.. what are our government wait…. isn’t this is an easy money?

    Like or Dislike: Thumb up 3 Thumb down 2
    • The dieselgate emission still lower than MY spec, so no kena fine.

      Like or Dislike: Thumb up 1 Thumb down 0
    • camtakpro on Aug 03, 2016 at 9:25 pm

      The tax on VW cars are a better money than one-time fines to VW.

      Like or Dislike: Thumb up 2 Thumb down 0
  • Just sell 60 more R8s and Bentleys. Kautim sau kung.

    Like or Dislike: Thumb up 3 Thumb down 0
  • Just wonder why still got people buying VW, Audi, Porsche and Bentley after all these scandals.

    Like or Dislike: Thumb up 7 Thumb down 1
  • kadajawi (Member) on Aug 03, 2016 at 6:54 pm

    The Korean government is trying to protect Hyundai and Kia, is it? Cause Hyundai and Kia were also caught with emissions far above the limits:

    http://www.telegraph.co.uk/cars/news/emissions-scandal-do-you-own-one-of-the-worst-performing-cars/

    The Kia Sportage diesel was 11 times over the limit. Hyundai Veloster petrol? 6 times over the limit.

    Any consequences for them? Yeah. Right.

    Like or Dislike: Thumb up 17 Thumb down 3
    • camtakpro on Aug 03, 2016 at 9:32 pm

      Korean are more on paper spec than real spec. Where is Sam Loo when you need him.

      Like or Dislike: Thumb up 2 Thumb down 1
    • whatswrong on Aug 03, 2016 at 11:18 pm

      It’s not for supporting Hyundai and Kia.
      VW Tiguan was best selling foreign car in Korea since 2014.
      After the diesel gate happened in US, Korea gov asked VW Korea to submit recall planning for protecting Korean consumer.

      However VW Korea denied all their fault that already proven in US. And submitted only 1page paper.And only wrote 1 line explanation about the diesel gate. It was just possibility of high emission in some condition. So no recall planning.

      So Korean gov rejected it. Then asked and rejected 2 more time. Because VW Korea did same like the first time. After 3rd times rejection from Korean gov. VW Korea sued Korea gov.

      VW Korea employed a lawyer in the best law firm in Korean.
      And the result is in above.
      This is crazy blood game. VW Korean cut their image by themselves in Korea. Even though they sold a lot of cars and had got good reputation in Korea.
      Anyway don’t misunderstand this it not for Hyundai and Kia.

      Like or Dislike: Thumb up 4 Thumb down 1
  • Kimchi protection at its best! Actually Proton can also learn something or two from this.

    Kick out Honda and Toyota for being unsafe. Then kick out Perodua for coming up with tofu cars. Kick out all VW cars for being dirty. Kick out kimchi cars for no RV. Kick out all sport cars brand for being too fuel guzzling.

    PROTON will be number 1 in the country again!

    Like or Dislike: Thumb up 2 Thumb down 3
 

Add a comment

required

required