Issue link: https://maltatoday.uberflip.com/i/587664
maltatoday, SUNDAY, 18 OCTOBER 2015 II Motoring EUR 6.5 billion budget may not be enough as VW forced to recall 8.5 million cars Kia performing better than ever before in Europe VOLKSWAGEN is to recall 8.5 million cars in Europe as a result of the diesel emissions scandal. The move followed Germany's rejection of a VW proposal to let affected owners bring their cars in voluntarily. News of the mandatory recall, the biggest in Europe, came as Italian police announced they had carried out raids on VW offices. It was also revealed that one of the car firm's top engineers had been suspended as part of the internal investigation. The recall followed the rejection of VW's offer to fix 2.4 million cars sold to customers in Germany by the national motoring watchdog, the Federal Motor Transport Au- thority. The watchdog said VW must share technical details of its en- gine emission fix with authorities by mid-November, and the recall will begin in January, according to a Bloomberg report. Experts say that, as well as adding to the German carmakers misery, the move will add to the cost of the operation as the company will need to fix the cars more quickly. VW declined to comment on the recall, saying it will contact indi- vidual customers directly. VW has set aside €6.5 billion to cover the costs of the scandal, but some ex- perts believe the final bill will be significantly higher. VW shares fell more than 3%after a slight recovery. They re- main down almost 20% since the scandal first broke last month. Regulators in the US haven't an- nounced a recall yet, despite the existence of so-called "defeat de- vices" – software which enabled its diesel cars in the US to turn on full pollution controls only when undergoing laboratory emissions testing, not under normal driving conditions – being first discovered by the US Environmental Protec- tion Agency. It was also reported that another of the company's top engineers, Falko Rudolph, was suspended as part of the investigation. VW's new chief executive Mat- thias Mueller told senior execu- tives meeting in Leipzig that the company needed to become "leaner and take decisions more rapidly". Promising to streamline the business structure, he said, "Our competitors are only waiting for us to fall behind on technology matters because we are so pre- occupied with ourselves. But we won't let that happen." Mueller took over as chief execu- tive last month when the previous head, Martin Winterkorn, stepped down as a result of the scandal. He said he believed it would two to three years before VW would "shine again". Italian police said they had raid- ed VW offices in Verona as well as Lamborghini offices in Bolo- gna. Reports say investigators are probing an unconnected commer- cial fraud. KIA Motors Europe recorded its best ever quarterly and half-year sales in the company's history, as the brand's year-on-year growth accelerated to 7.6%, according to the latest data from the European Automobile Manufacturers' Asso- ciation (ACEA). During the first half of 2015, Kia posted sales of 200,038, represent- ing the best ever six-month period recorded by the Korean brand in Europe. Compared to the first half of 2014, this represents growth of 7.6%. At the same time, the second quarter of 2015 was the brand's best-ever quarterly sales total, with 103,946 units registered – the first time Kia has broken through the 100,000 barrier in any one quarter. Michael Cole, Chief Operating Officer, Kia Motors Europe, com- mented: "2015 to date has been a great period for Kia in Europe, with sales records tumbling and new highs reached. We're de- lighted that Kia continues to grow, consistently and sustainably, and that an increasing number of mo- torists are drawn to our range of high quality, high value cars." Cole added: "Kia is focused on developing an unrivalled level of quality in its products, and an in- dustry-leading level of service at every customer touchpoint. We want customers to enjoy buying and owning their Kia cars, and our record sales demonstrate that our approach is working. New and updated models drive 7.6% sales growth Kia's first quarter growth has been driven by rising sales of the all-new Kia Soul, which went on- sale across Europe at the start of the year (first half sales up 112% year-on-year, to 7,042 units), as well as the new Sorento SUV, with 5,670 units sold so far this year. The recently upgraded Rio also performed strongly through Q2 and the first half, with 33,059 (+6.1%) units sold respectively. Sportage and cee'd top Kia sales charts The Kia Sportage and cee'd model family retain their posi- tion as the two top-selling models from the Korean brand. Now in its fourth full year of production, the Kia Sportage boasted its best-ever sales quarter in Q2, with 28,208 vehicles sold across Europe from April to June and 56,002 year-to- date (+12.0% over the same period in 2014). The cee'd (40,090 units in the first half of the year) remains the brand's second best-selling model in Europe behind the Sportage, and continues to appeal to custom- ers thanks to its classy design, high quality interior, efficient range of engines and practical nature. Having started production in 2006, the 1,000,000th Kia cee'd was recently manufactured by Kia Motors in Europe, a major mile- stone for a car that has played a significant role in Kia's sustained growth and success since its in- troduction nine years ago. The 1,000,000th cee'd to roll off Kia's European production line was a high-powered Kia cee'd GT five- door hatchback in 'White Pearl'. The car and its 204 ps 1.6-litre T- GDI (turbo gasoline direct injec- tion) engine were both produced in Slovakia – the car was produced for a buyer in the Netherlands. All models in Kia's European line-up continue to be sold with the brand's unique 7-Year war- ranty. Kia is represented in Malta by Cars International, Mdina Road, Qormi. To test-drive any Kia car model, send an email to kiasales@ cil.com.mt, call on 2269 2000 or visit the website www.kia.com/ mt or Facebook page Kia Motors Malta.