Volkswagen are still suffering from the aftermath of their emissions scandal, on top of other trade and European Union problems. Two years ago, today, it was found out that Volkswagen had cheated on diesel emissions tests in US.
Earlier this month, Volkswagen AG executive Oliver Schmidt pleaded guilty in US District Court in Detroit. Schmidt is expected to serve up to 7 years and be fined $4,000 to $400,000 for installing software in vehicles to confuse emissions tests in US. The company was also ordered to spend up to $25 billion in order to resolve the matter. The high-profile nature of the lawsuit meant it damaged Volkswagen’s reputation globally, and it is a worrying sign that the scandal still makes the news today.
This could still be having detrimental effects on Germany’s economy because the car industry serves as its largest exporter and provides around 800,000 jobs. Additionally, Germany is under increasing economic pressure at the moment because of Britain’s recent parting with the EU and also the potential threat of the ‘diesel crisis’.
The impact this will have on Germany’s economy is currently unquantifiable. Trying not to get ahead of myself, I cannot help but feel concerned for the future of the EU as a whole, with its biggest economy under threat from multiple angles.