Renault, Fiat Darken Auto Industry Outlook After VW Settles
- Companies’ emissions probed by U.S. and French investigators
- Fiat boss Marchionne: Allegations are “unadulterated hogwash”
Renault the Latest Victim of VW Scandal Fallout
Pressure weighing on the global auto industry for more than a year finally appeared to ease on Wednesday as Volkswagen AG agreed to $4.3 billion in fines for cheating on emissions tests, largely putting the scandal to rest. Less than a day later, the outlook darkened again as Renault SA and Fiat Chrysler Automobiles NV were hit with similar allegations of violating clean-air regulations.
Paris prosecutors, who raided Renault a year ago in an initial emissions investigation, opened a probe into the automaker on Thursday. About the same time, the U.S. Environmental Protection Agency accused Fiat Chrysler of installing software in 104,000 Jeep Grand Cherokees and Ram 1500 pickups that allowed them to exceed pollution limits on the road. The Justice Department also is investigating Fiat Chrysler over its diesel emissions, according to people familiar with the matter, Bloomberg reported Friday.