EPA: Fiat Chrysler Cheated Emissions Standards with Ram Diesel
Illegal Software Said to Affect Approximately 104,000 Jeep Grand Cherokee and Ram Diesel models
Following a massive diesel cheating scandal surrounding Volkswagen AG last year, the EPA on Thursday accused Fiat Chrysler of using hidden software to allow emissions in excess of what the law allows. The allegations affect 104,000 2014-2016 Dodge Ram 1500 trucks and Jeep Grand Cherokees equipped with 3.0 diesel engines.
The EPA claims it found eight different types of software on the vehicles that can alter emissions. The intentions of such software are to produce lower pollution when the vehicle is in test mode. This allows automakers to pass emissions tests under false pretenses. The U.S. Justice Department is investigating the findings.
FCA wasted no time denying the allegations, immediately issuing a response. “FCA US looks forward to the opportunity to meet with the EPA’s enforcement division and representatives of the new administration to demonstrate that FCA US’s emissions control strategies are properly justified and thus are not “defeat devices” under applicable regulations and to resolve this matter expeditiously.”
According to Reuters, Fiat Chrysler CEO Sergio Marchionne angrily denied the allegations in a press conference with reporters. He described the situation as being “unfair,” and expressed extreme displeasure with regulators. “We don’t belong to a class of criminals,” Marchionne said. “We’re not trying to break the bloody law.” Marchionne also noted that FCA would not discontinue selling 2016 Jeep or Ram diesel models.
‘We don’t belong to a class of criminals.
We’re not trying to break the bloody law.’
— Fiat Chrysler CEO Sergio Marchionne
If convicted, FCA will face steep fines and potential criminal action. Volkswagen agreed to pay $4.3 billion in fines, and several employees face criminal charges. FCA could face fines of up to $44,539 per vehicle if it indeed violated emissions laws.
FCA shares tumbled Thursday following the EPA’s statement, dropping 16% as of 4:30 EST.
But considering the lingering legal mess and diminished brand image suffered by Volkswagen, financial repercussions may be the least of FCA’s concerns.
