German car manufacturer Volkswagen announced this weekend that it will call back several hundred thousand of their cars sold in the United States, as they failed to comply with the Clean Air Act.
The Clean Air Act dictates the boundaries of toxic gases a car can emit. To meet those demands, several Volkswagen and Audi models have certain technology on board to limit the emissions. That technology did hamper the car's performance and that is why VW made sure the technology only kicked in when the emission was being checked.
The US Environmental Protection Agency has now been informed of this fraudulent behaviour, which means that all the cars involved will have to go back to the factory. Volkswagen also risks a 37,500 dollar fine per car, which could run up to 18 billion dollars (16 billion euro).
Once the scandal broke, Volkswagen took the decision to halt the sale of diesel-fueled cars with 4 cylinders in the United States, which is a huge blow to the company as it decided only last year to invest billions into the American car industry. The diesel-fueled cars were supposed to be an important part of its American plans and already contribute 25 % to Volkswagen's American sales.