Dieselgate is proving to be an expensive mistake for Volkswagen, to put it lightly. VW is already expected to pay as much as $25 billion, and the mounting costs have only spurred discussion on whether or not it will sell some of its brands to pay off debts. Although it may eventually unload some of its assets, VW says, it’s in no rush to do so.
“It’s much more important to discuss which new business fields the company will enter,” Thomas Sedran, head of strategy at Volkswagen, told Reuters. “Divestments are less relevant.”
In that vein, the automaker is focusing on expanding rather than contracting. Volkswagen is gearing up to launch a slew of new electric vehicles, including a hatchback, crossover, and Microbus. Reportedly, the crossover will be the first one to reach the U.S. when it arrives in 2020. Also, the automaker will introduce a fully autonomous driving feature that should be ready by 2025.
Reports say that Volkswagen has ruminated over the possibility of selling Ducati and transmission maker Renk. The automaker is asking banks to consider its options, sources have claimed. Sedran said “it’s perfectly plausible that we consider whether the time may have come to find a more suitable owner for certain business areas,” without elaborating on exactly what that means.
One source told Reuters that Italy’s Benetton family is one of five suitors vying for Ducati. Even if some Volkswagen execs want to sell the motorcycle division, the plan doesn’t have the support of the majority of the supervisory board, which consists of many labor leaders, according to Reuters.
It’s possible Volkswagen has some other plan up its sleeve to pay for dieselgate. Sedran noted the possible changes that have been considered were “far greater than just the things that are seized on in public discussion.”
Previous reports said VW might halt production of 40 models as it shifts its focus to EVs, autonomous driving, and ridesharing.
Source: Reuters