BMW Defends Diesel Technology

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By Paul Ausick Updated Published
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BMW-X5
BMW
While it is still too early to assess all the damage caused by the revelations of Volkswagen’s cheating on emissions testing of its diesel engines, no one doubts that the impact on VW is likely to be severe. There is also little question that other makers of diesel cars are going to face sales headwinds, whether deserved or not.

In a Friday press announcement, German carmaker BMW noted a clarification to a report that appeared last week in a German magazine that claimed the BMW may have manipulated its diesel-powered X3 compact sport utility vehicle (SUV) in a manner similar to that used at VW. The magazine now says that there is “no evidence of emission manipulation by BMW.” The carmaker cites two studies by the International Council on Clean Transportation (ICCT) that have confirmed that the BMW X5 and 13 other BMW vehicles comply with the legal requirements related to nitrogen oxide emissions.

The company also insisted that it does not indulge in any funny stuff with its diesel-powered cars. Not only that, but the company argues that without diesel-fueled engines, Europe will not be able to meet clean air targets for 2020.

According to BMW, Europe has been able to achieve what success it has had in reducing carbon dioxide emissions “largely due to the use of diesel technology.” The company goes on:

Meeting future requirements will not be feasible without diesel drive trains, since a diesel engine emits roughly 15 to 20 per cent less [carbon dioxide] on average than a comparable petrol engine.

Selling diesel powered cars is important to BMW’s success:

At BMW, diesel vehicles accounted for 38% of vehicles sold worldwide last year: Europe 80%; Germany 73%; US 6%. This represents approx. 20,000 vehicles in the US in 2014.

How big a deal is this? The Wall Street Journal reported Saturday that Switzerland is considering banning the sale of VW diesel cars that contain the cheating-capable software. The last thing BMW or any other maker of diesel cars wants is a ban, even a temporary or limited one, on all diesel car sales in Europe.

ALSO READ: Will Emissions Scandal Spread to Ford, GM, Chrysler Diesels?

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About the Author Paul Ausick →

Paul Ausick has been writing for a673b.bigscoots-temp.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

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