Volkswagen’s Emission Retrofit May be Costliest Recall in Automotive History

Source: Alan Katz: propertycasualty360.com

Volkswagen AG’s worldwide repair of 11 million diesel vehicles to bring their emissions systems into compliance with pollution regulations is shaping up to be one of the most complex and costly fixes in automotive history.

The German carmaker will need to install parts for vehicles already on the road that weren’t designed to accommodate the equipment. The work may may need to be done in special shops set up for the purpose. And it will have to pass muster with dozens of countries with their own regulations. VW said Thursday that it was examining whether other diesel engines also have the cheating software.

“I can’t think of any other recall that would be as comprehensive,” said Jake Fisher, director of automotive testing at Consumer Reports magazine. “It’s really an expensive rework.”

The repair costs are only part of what Volkswagen is going to have to spend to get through a corporate crisis sparked by revelations it rigged its diesel cars for years to fool emissions tests. The company is also compensating dealers for storing cars they can’t sell. It faces more than 325 consumer lawsuits in the U.S., according to data compiled by Bloomberg, and has hired U.S. law firm Jones Day to conduct an internal investigation into the company’s actions.

Adding in likely fines, settlements with the U.S. Environmental Protection Agency, state authorities, the Justice Department and dozens of countries in Europe, and the cost could exceed 30 billion euros ($34 billion), according to the Center of Automotive Management in Bergisch Gladbach, Germany.

Ground-breaking global waste reduction effort strengthens Ontario’s green economy

CNW Press Release:

Tyromer Inc, a company established by the University of Waterloo to commercialize a better way to recycle scrap tire rubber and more importantly, to manage scrap tire waste, announced the opening of its groundbreaking facility, Tyromer Waterloo.

The Tyromer technology invented by Professor Costas Tzoganakis of the Department of Chemical Engineering, University of Waterloo, turns scrap tire rubber into a new, versatile, high quality rubber material – Tyromer-TDP (Tire-Derived Polymer). Tyromer Waterloo will be the first manufacturer to introduce Tyromer-TDP, and will showcase the potential impact the Tyromer devulcanization technology can have on tire recycling in Ontario, Canada and globally.

“Each year more than 300 million scrap tires are generated in North America. During the average life of a tire, only 20 per cent of the rubber is used, leaving a staggering 10 billion pounds of scrap tires,” said Sam Visaisouk, CEO, Tyromer Inc. “With Tyromer-TDP, there is now a socially responsible and environmentally sustainable solution to the global management of scrap tires.”

Tyromer received early financial support from Michelin Development Company, Ontario Centres of Excellence and University of Waterloo to scale up its technology.  Ontario Tire Stewardship provided a research grant for Tyromer to strategically focus on the devulcanization of scrap tire rubber crumb. AirBoss Rubber Compounding, the second largest custom rubber compounder in North America, provided valuable industry knowledge and helped validate Tyromer-TDP as a viable rubber compound replacement in the manufacture of tires, and provided technical assistance in the construction of the Tyromer Waterloo facility.

“Tyromer Waterloo Inc. represents the successful collaboration among university, public sector (Ontario Tire Stewardship) and industry (AirBoss Rubber Compounding) in transforming a university invention into a global innovation in scrap tire recycling and resource utilization. To celebrate this success, we will officially unveil Tyromer Waterloo at its open house today at 11 a.m. in Kitchener,”  said Sam Visaisouk

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