Economy, Auto

Audi in Turmoil

Audi in Turmoil Audi in Turmoil

Audi is considering dismissing four management board members as a warning to CEO Rupert Stadler, following leaked information that the company knew it was cheating on emissions tests.

Sales and marketing chief Dietmar Voggenreiter, production boss Hubert Waitl, finance chief Axel Strotbek and personnel boss Thomas Sigi could  be removed from office, according to the German financial daily Handelsblatt.

Stadler will retain his post thanks to support from the Porsche and Piech families who control Audi parent Volkswagen Group, but he could be removed next year, the newspaper said in a report Friday.

Stadler has been Audi CEO for more than 10 years. His handling of Audi’s part in VW Group’s emissions-cheating has been under heavy fire since March when German investigators raided Audi offices in connection with the diesel scandal.

Audi is also far from Stadler’s one-time goal to be the global leader in luxury car sales by 2020. Its first-half global vehicle sales fell 4.7% to 908,950, behind No. 2 BMW brand, whose volume was 1.04 million, up 5.2%, and Mercedes brand, whose sales increased 14% to 1.14 million.

Audi’s sales in China, its largest market, fell 12% in the first half after the brand decided to explore setting up a second joint venture with SAIC, triggering a revolt by FAW-Volkswagen/Audi dealers.

On Friday, Audi said it will recall up to 850,000 diesel cars to update vehicle software controlling emissions.

VW Group has suffered heavy losses in recent years, however, the group is attempting to move forward with its plans to promote green energy vehicles.

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