VW confirms an incentive of up to €10,000 for EU-6 diesels when scrapping an older diesel car

08 August 2017 In an update to the news that the Volkswagen (VW) Group will offer a trade-in incentive for Euro 1 to Euro 4 diesel models across all its brands, Automobilwoche reports that the core VW brand ′will pay customers a premium of up to €10,000 until the end of the year, depending on the model, when buying a VW EU-6 diesel and simultaneously scrapping an older diesel vehicle which meets the EU-1 to EU-4 emissions standards.’ For example, VW will offer a €5,000 subsidy for a new Golf and €8,000 for a Passat. The maximum €10,000 euro incentive is available when a customer buys a new Touareg SUV. Electric vehicles (EVs) will be supported with a ′future incentive’ but this is reported to be significantly lower and is based on the type of powertrain. A €1,000 incentive will be available for a natural gas model, €1,785 for a plug-in hybrid model and €2,380 for a pure electric car. However, this will run in parallel with the German Government incentives, although their success has been rather limited. Thomas Zahn, Sales Director of VW in Germany, calculates that, the entire subsidy available for an e-Golf now amounts to €11,760 euros. In the coming years, VW wants to bring several new electric cars to market and has recently tripled its EV engine development budget over the next five years to around €9 billion compared to the last five. ′Volkswagen promotes the renewal of the vehicle stock in Germany through the technological transition to the latest Euro 6 technology, and in particular to e-mobility.’ said VW board member for sales, JÜrgen Stackmann. ′Volkswagen is convinced that clean and efficient diesel engines with state-of-the-art exhaust gas purification systems are an indispensable propulsion technology to achieve CO2 emissions targets.’ VW Group subsidiaries Audi and VW Nutzfahrzeuge (Commercial Vehicles) will also pay eligible customers a subsidy of up to €10,000. Audi will offer a higher incentive if a customer orders a car with a plug-in hybrid or natural gas powertrain and VW Nutzfahrzeuge offers the subsidy for all models which are registered as passenger cars. Skoda will offer an incentive of up to €5000 and €1000 extra will be available for natural gas models. The €5,000 is not only available for the Superb, but also for the popular Octavia. For the Fabia, the premium is €3,000 and for the Rapid it is €3500. VW’s Spanish brand SEAT will offer between €1,750 and €8,000 for customers to make the change, depending on the model. More modern diesel engines, which comply with the Euro-5 and Euro-6 emission standards, will receive software updates which aim to reduce nitrogen oxide emissions by 25 to 30%, as announced by the VDA at the national diesel summit in Berlin on 2 August.