Qatar backed Volkswagen to phase out more than 40 car models

By, 2016-06-21

In a big move to shift to no-emission vehicles, Volkswagen announced that they will stop producing about 40 car models in the coming years as part of a the strategy of shifting to electric cars, German newspaper Handelsblatt reported.

Volkswagen, Europe's biggest automaker, said on Thursday it would invest billions of euros in electric cars, ride-hailing and automated driving to become a world pioneer in green transport by 2025 as it reshapes its business following a diesel emissions scandal.

VW, which is 17% owned by the Qatar Investment Authority (QIA), has been largely on the defensive since US government revealed in last September that it had admitted rigging exhaust emission tests on some diesel-powered cars. For months, Volkswagen volunteered little information about the extent of the cheating, instead reacting guardedly to a flood of revelations and allegations.

Qatar is giving all the support to Volkswagen to implement this decision as they think it will create a better image for the giant car manufacturer.