US push Volkswagen to an electric path image

The regulators have asked Volkswagen to build electric vehicles in the United States, as a way to compensate for its cheating scheme, according to a report from a German newspaper.

Volkswagen is not even close to get an approval from US authorities on fixing the nearly 600,000 diesels that are over polluting. The German automaker does not expect to reach an agreement on the subject with the regulators before the end of March, German monthly Manager Magazin reported on Friday, citing company sources. Until a proper solution is found for mending the affected cars, the US authorities have other plans in mind for Volkswagen. The Environmental Protection Agency is reportedly pushing Europe’s biggest carmaker to build electric vehicles at its Chattanooga plant, Tennessee, as well as a network of charging stations in the United States, according to another German newspaper – Welt am Sonntag. However, the report did not point out if Volkswagen was “forced” to make new electric models at the plant or to bring the company’s exiting hybrid powertrains at Chattanooga.

Aside from the huge costs triggered by the emissions scandal, Volkswagen now has to deal separately with the expenses for another recall, one forced by Takata’s defective airbags. The carmaker has to set aside up to 400 million euros (445 million dollars) in provisions to cover the latest safety campaign in the United States, Welt am Sonntag also reported, citing an insider. Volkswagen announced last week it would have to recall around 680,000 models of its namesake brand in the United States built between 2006 and 2014, cars that potently have issues with Takata’s inflators.

Via Reuters