VW’s #DieselGate Could Help Ford in Europe
Unless you’ve been living under a rock, you’ll surely have heard the news that Volkswagen got busted for cheating on emissions testing in the United States in Europe. Apparently, installing a cheat device that allows VW diesels to pollute 40 times that of a normal gasoline car isn’t a good thing, nor a legal thing. But, could this scandal help Ford in Europe?
The Motley Fool seems to think so. In passenger vehicles, not only did VW dominate diesel sales in the United States, but they also dominated in Europe. While it’s unclear just how much VW will have to pay for their coverup, it could create an opportunity for Ford to sell more diesel vehicles there.
Of course, there will be a short period of time where nobody trusts diesels, regardless of what manufacturer they come from. There will be people who think that it can’t just be Volkswagen as the only company that cheats, and buyers will point fingers at all OEMs who make diesel vehicles.
But once that settles down, and it will, there could be an opening in the diesel market (especially in Europe) for Ford to swoop in with their clean diesel vehicles and increase sales.
Why not the United States? With gasoline prices currently as inexpensive as they are, and the extra cost required to buy a diesel vehicle so high, it’s hard to see diesel-powered cars getting nearly the same adoption rate here as they do in Europe.
What do you think? Let us know in the forums!
via [The Motley Fool]