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December 1, 2016

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SK to ban sales of certain car models

SOUTH Korea is to ban sales of some cars made by Porsche, BMW and Nissan, and fine the companies over US$5 million as a probe into emissions documentation widens.

Seoul began investigating environmental certification on imported automobiles after Volkswagen last year admitted to installing emissions cheating software in some 11 million diesel vehicles worldwide.

The so-called defeat devices could detect when a vehicle was undergoing tests and lowered tailpipe fumes accordingly to make the cars seem less polluting than they were.

The South Korean government said on Tuesday it had found certification errors in 10 models sold across the country — two from Nissan, one BMW and seven Porsche — and would slap a combined 6.5 billion won (US$5.6 million) fine on the firms.

“We will allow Nissan and BMW to clarify their positions through a hearing and file a legal complaint if irregularities are confirmed,” said Hong Dong-Kon, an environment ministry official in charge of auto environmental standards.

Porsche already admitted its errors with the certification documents and has stopped selling four of the seven affected models, Hong said.

In August, the ministry banned the sale of 80 Volkswagen models and fined the company US$16 million for forged documentation on engine noise levels, fuel efficiency and emissions.

The scandal has taken its toll on the company’s reputation in the country, with its sales in South Korea plunging 33 percent in the first half of this year from a year earlier.


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