Volkswagen is prepared to pull its small cars off sale rather than engineer them to meet costly new Euro 7 emission regulations, which could add as much as €5000 to the cost of a car.
CEO Thomas Schäfer said engineers at the company were currently assessing the regulations, and a decision was expected within the next couple of weeks as to whether or not they would proceed.
“We had a very good plan, where we thought EU7 was an insurmountable hurdle [and therefore would be scrapped] that will accelerate electrification,” Schäfer said at the Los Angeles motor show.