World Economy

VW Scandal No Harm to German Industry

VW Scandal No Harm to German Industry  VW Scandal No Harm to German Industry

German Chancellor Angela Merkel expressed confidence that Volkswagen AG’s cheating on diesel emissions will not harm the reputation of German industry.

While VW needs to clear up the matter quickly, “I believe that the reputation of German industry, the trust in Germany as a business location, has not been so shaken that we will not continue to be seen as a good business location,” Merkel said in a radio interview with Deutschlandfunk posted Sunday on the broadcaster’s website, Bloomberg reported.

The chancellor was asked about fallout from VW’s disclosures before starting an official visit to India on Monday that will include meetings with local business leaders. Merkel has mostly remained silent about Volkswagen since revelations in September that the carmaker installed software on millions of diesel vehicles to cheat on emission tests. “This is a watershed event that is not good,” Merkel told the radio station. “I hope that VW quickly provides the necessary transparency and clears things up.”