GM Cruze Scandal Ignites Investigation Into Other Auto Manufacturers
kpopluv, Oct. 31, 2014, 9:38 a.m.
Carmakers are on alert after GM Korea confessed earlier this week to exaggerating the fuel efficiency of the compact Cruze. The admission came ahead of a government inspection, together with a pledge to compensate owners to the tune of W33 billion (US$1=W1,057) in total.
The Ministry of Trade, Industry and Energy suspects the fuel efficiency of the Volkswagen Tiguan 2.0 TDI BlueMotion, the Audi A4 2.0 TDI, the Mini Countryman Cooper D and Chrysler Grand Cherokee has also been inflated and expects to fine manufacturers next month.
Carmakers fear the false advertising could lead to class-action lawsuits. If they are found guilty, it would affect around 10,000 Tiguans and around 2,700 A4s -- both touted especially for their alleged fuel economy.
The carmakers under suspicion claim they are being treated unfairly. They say two separate government agencies tested the vehicles and came out with different results. Some carmakers are considering legal steps.
The potential compensation payout could amount to around W7 billion. The GM Korea scandal follows the shaming of Hyundai and Ssangyong earlier this year over exaggerated fuel efficiency claims for their SUVs.