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VW halts sales of 3.0-liter V6 diesels in USA, Canada

Volkswagen disclosed this after it conducted its own emission tests. This new issue could add another €2 billion to the company’s growing tab to make amends for the scandals. The automaker had already said that diesel-emissions cheating affected 11 million vehicles worldwide.

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The sales of the VW vehicles with 3.0-liter V6 diesel engines have been halted. Volkswagen has denied the charge, but faces the prospect of more fines and lost sales. On Wednesday, VW said that fixing the newest round of vehicles could cost the company an additional $2.2 billion.

Automotive engineer John German works for the global Council on Clean Transportation, a non-profit organisation dedicated to reducing vehicle emissions and is credited with helping to uncover the VW emissions scandal.

The emissions scandal widened on Tuesday with the EPA accusing the company of concealing the level of nitrogen oxide emissions during tests with the help of a special device fitted on its larger 3.0 litre diesel engines used in large sports vehicles. “Public trust is at stake here”, EC spokeswoman Lucia Caudet said.

Those vehicles weren’t named, but higher carbon-dioxide levels correspond to higher fuel consumption than previously stated. The emission of carbon dioxide in Volkswagen cars has been understated to keep it as low as possible.

The carmaker said it would immediately start talking to “responsible authorities” about what to do about the latest findings.

Most of the cars with the carbon dioxide problem are equipped with an engine line known as the EA 288, of which there are 1.4-litre, 1.6-litre and 2-litre versions.

An early estimate by the Wolfsburg-based business put the “economic risks” of the latest revelation at about €2bn with recently installed chief executive Matthias Mueller saying that “relentless and comprehensive clarification is our only alternative”.

However, Mr Dobrindt said the firm had caused “irritation in my ministry and with me”, while Chancellor Angela Merkel’s spokesman said it had to take steps to prevent such a case happening again, adding: “VW has a duty to clear this up transparently and comprehensively”.

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This repeat incident could also be the sign of a wider industry problem if other manufacturers have followed similar practices; and it reinforces our view that the sector is likely to face tougher environmental regulations and requirements in coming years.

Volkswagen Touareg diesel is tested in the Environmental Protection Agency's cold temperature test facility in Ann Arbor Mich. The U.S. government says Volkswagen cheated a second time on emissions tests