Since the Volkswagen emissions test scandal in September, it is not just the German carmaker that has suffered a blow to its image. Diesel automotive technology also faces a battle to regain public trust.

There are already some signs of demand for diesel cars shrinking since VW was forced to apologise for installing “cheat devices” in 11 million vehicles. In Germany, Europe’s largest car market, demand for diesel cars was down 11% by the end of October compared with the average level this year, according to data from car buying website MeinAuto. The decline for VW diesel cars was even steeper, down 14%.

Over the past two decades sales of diesel cars across Europe have been boosted by tax incentives. Outside Europe, diesel is far less popular. In the US, just 3% of car sales were diesel last year, and just 2% and 1% respectively in Japan and China.

In the light of the VW scandal, which has been called the car industry’s “Libor moment”, industry experts expect diesel’s share of the European market to decline.

bbabo.Net