News

VW SCANDAL: CAP predicts no impact on Volkswagen residual values

Time 6 years ago

CAP Automotive is predicting the current issues faced by Volkswagen will have no discernable impact on used values.

Dylan Setterfield, senior forecasting editor at CAP, said: ‘We do not expect there to be any significant impact on used values for VAG models in the UK as a direct result of the US emissions scandal. The last global recall was the Toyota/Lexus issue, and despite the fact that this had serious safety implications, there was no discernible impact on used values.

‘It is also far from certain that VAG are the only ones to have employed such technology on their vehicles in the USA.


‘UK consumers remain relatively unaware of nitrogen oxide emissions and are far more accepting of diesel technology than their counterparts in the USA. The overriding view is that diesel vehicles are more economical than their petrol equivalents, even if this is not always the case, and the torque characteristics of diesel engines are generally popular with drivers.’

Martin Winterkorn, pictured above, stepped down as Volkswagen AG chief executive yesterday after issuing two apologies.

Setterfield added: ‘There is already wide acceptance that official data regarding CO2 emissions and fuel economy are broadly unreliable across the board. This is a reputational issue for VW and I’m sure they will take steps to reassure customers and rebuild trust.’

CAP logoCAP reported high volumes of inquiries from across the industry around potential impacts on used values.

Advert

Setterfield said: ‘Until the full impact of the issue is fully understood, it is very difficult to plan around the problem. We recommend a watching brief as the situation evolves. Black Book Live reports movements on a daily basis, keeping users updated real-time. If there were to be any impact on used values, our Black Book Live customers would be the first to know.’

MORE ON VW SCANDAL

Skoda, Seat and Audi dealers braced for bad news

UK businesses hit by ripple effect

Biggest UK lawsuit could be on the cards

VW diesel scandal ‘just tip of iceberg’

Winterkorn resigns

SMMT calls for calm

Audi and VW brand ‘damaged’

Chief executive ‘could lose his job’

VW faces billions in fines

Car Dealer Magazine's avatar

Car Dealer has been covering the motor trade since 2008 as both a print and digital publication. In 2020 the title went fully digital and now provides daily motoring updates on this website for the car industry. A digital magazine is published once a month.

More stories...

Advert
Server 51