Volkswagen Group Australia has apologised unreservedly to the company's customers, dealers and staff for the 'dieselgate' scandal involving 11 million vehicles globally and 100,000 in Australia.
Speaking at the media launch of the new Passat today, managing director John White said his company will do what it takes to redeem itself in the eyes of consumers.
"I share the disappointment of our Australian customers, staff, dealers and partners who are affected by this situation and on behalf of the company I would like to apologise to all of those affected in Australia," he said.
"I also know that this company will do everything to rebuild the trust that we have lost."
Apart from issuing the company's first public apology for the NOx cheating disgrace, White recapped the steps taken to address the problem on Friday – three weeks after the issue was first exposed – when Australia became the first market in which Volkswagen vehicles were formally recalled as part of the scandal.
VGA has also suspended sales of those affected vehicles – totalling about 600 in both dealer and wholesale stock – until they are rectified.
In line with Volkswagen's stated global aim, the first vehicles are expected to be recalled around February, and all rectification work should be finished by the end of 2016.
So far, however, Volkswagen hasn't revealed what the 'fix' will involve for each specific model, or whether their performance will be affected.
Nor has it outlined how it will support dealers impacted by the inability to sell affected models. That is expected to take place later this week, when 102 dealer principals attend the Passat dealer launch.
"This is a very difficult situation and a complex problem," said White. "For us to regain the trust of our customers we need to first clarify the situation and our parent company is working intensively to do so.
"There is no benefit to anyone in making reports based on speculation, instead we will take the time to get the facts and provide you with comprehensive answers as they are made available to VGA.
"I want to share with you what we have done in Australia. Firstly, we temporarily suspended the sale of affected new vehicles fitted with 1.6 or 2.0-litre EA189 diesel engines.
"The suspension will remain until the emission issues are addressed in those vehicles.
"Last week we announced a voluntary recall and identified the vehicle numbers, models and model years affected in our market.
"We also created a search tool on our website so customers could verify if their vehicle was affected. This website also provides a statement, relevant press releases and a Q&A."
In all Down Under, a total of 99,678 vehicles are affected, including 61,189 Volkswagen passenger vehicles, 17,256 Volkswagen commercial vehicles, 5148 Skodas and 16,085 Audis.
Affected models include diesel versions of the Volkswagen Jetta, B7 Passat, CC, Tiguan and Caddy, and the diesel-powered Skoda Yeti and Superb.
Unaffected Volkswagen models include the 2015-2016 model year Golf 7 TDI and all Touareg, Amarok, Multivan, Transporter, Crafter and new (B8) Passat models, the Skoda Fabia, Rapid and Octavia, and all petrol-powered VW and Skoda models.
White said customers will be advised as soon as possible about next steps.
"I recognise that customers are frustrated that they do not know what action needs to be taken with their cars," he said.
"As our CEO Mr Müller has said on the record: 'In many instances a software update will be sufficient. Some vehicles, however, will also require hardware modifications. We will keep our customers constantly informed about the measures and arrange workshop appointments.'
"Of course you want to know if these solutions have any impact on customer’s cars. The Volkswagen Group is working tirelessly to respond to those questions.
"What I can assure customers of is that despite reports that this issue currently affects their vehicles fuel economy or CO2 emissions, that information is incorrect. There is no affect to either.
"I want to assure our customers that not only are their cars safe and drivable but any work to their car will be at no cost to them.
"To our dealers, who have had no part in this, we will support them to the best of our ability."
VGA says it has met with all relevant federal government authorities, including the Department of infrastructure and Transport, and the Australian Consumer and Competition Commission to update them on all matters pertaining to the situation.
"We have also proactively been in contact with the office of Minister Fletcher to do the same," said White. "It is important to note that we have done so in a transparent, open, collaborative and timely manner and we will continue to do so as further developments unfold.
"We have provided you [the press] with all of the information we currently have available and we will also continue to do so as it comes to hand."
Volkswagen's Australian sales are up 14 per cent so far this year following a 14.7 per cent increase in September, three weeks of which had elapsed before the Dieselgate scandal broke.
Dieselgate related reading:
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Dieselgate worsens, 11m vehicles could be affected