Together with the German Federal, state and municipal governments and German automakers, the Volkswagen Group will make a decisive contribution to a swift and sustained reduction in NOx emissions. A key element of this package is the trade-in incentive for Euro 1 - Euro 4 diesel models which will apply across all brands in the Group. In addition, the software update for Euro 5 and some Euro 6 diesel vehicles will be available throughout Europe and not just in Germany. "With the incentive to trade in their vehicles we are giving our customers strong motivation to switch to a modern, more environmentally compatible vehicle powered by an internal combustion engine or an alternative drivetrain technology", Matthias Müller said. "This incentive can be implemented quickly and will have a swift, quantifiable and sustained effect on significantly reducing NOx emissions and significantly improving air quality."
The incentive is currently being prepared by the Group's Volkswagen passenger cars, Audi, SEAT, Škoda, Porsche and Volkswagen commercial vehicles brands and will be on offer soon.
Pan-European software update for Group vehicles : In Germany, the Volkswagen Group will install a software update on approx. four million Euro 5 and some Euro 6 diesel vehicles in total as agreed in order to reduce NOx emission levels. This figure also includes the approx. 2.5 million vehicles already being recalled, of which more than 70 percent have already been refitted.
In addition, the Volkswagen Group will be offering the software update to its diesel customers throughout Europe. As a result, NOx emissions from Euro 5 and some Euro 6 diesel vehicles currently on the market can be reduced by an average 25 to 30 percent.
Furthermore, the Volkswagen Group will contribute to the Euro 500 million "sustainable mobility fund for cities". The auto industry and the federal government will each contribute Euro 250 million. The Volkswagen Group's contribution to the fund will be proportionate to its market share in Germany and will therefore represent a substantial amount.
M&M's unaudited financical results
The board of directors of Mahindra and Mahindra Limited announced the unaudited financial results for the quarter ended 30th June 2017 of the company and the consolidated Mahindra Group. Due to the unavailability of input credit for certain taxes paid, as well as due to tractors being exempt from excise duty in the earlier regime, the company to ensure minimum impact for customers, has made provision for dealer support in respect of duty paid goods lying with dealers amounting to Rs 144 crores.
Automotive Business: The automotive industry in Q1 F2018 was impacted due to the impending transition to GST from 1st July 2017 with the passenger vehicles sales being adversely impacted in anticipation of a price reduction due to GST and reporting a nominal growth of 4.4 per cent. The sales of heavy commercial vehicle goods segment showed a dip as a result of pre-buying of BS3 vehicles in Q4 F2017, saturation of replacement demand and production constraints of BS-4 models leading to Q1 F2018 sales being the lowest in past 13 quarters.
Tractor Business: Based on a normal monsoon outlook, tractors sales continued to post growth for the months of April and May 2017. However June 2017 witnessed a de-growth of 1.7 per cent owing to the uncertainty with regard to transition to a GST regime. Overall the domestic tractor industry witnessed a growth of 8.5 per cent in Q1 F2018. The company however, outperformed the industry and grew 13.2 per cent leading to the highest ever domestic tractor market share for a quarter at 45.8 per cent.