Volkswagen and the EPA have until April 21 to reach a diesel emissions fix that will cover around 580,000 affected vehicles in the U.S.
U.S. District Judge Charles Breyer along with lawyers for the Justice Department and Volkswagen said at a court hearing in San Francisco that progress has been made during negotiations, but issues still remain and no settlement has been reached. There are several options for remedies still being discussed, including fixing all the affected vehicles, buy backs and other options.
If the parties involved are unable to reach a deal by April 21, the judge said he would consider holding a trial on the issue, addressing the vehicles that the EPA says can emit up to 40 times the legally allowed pollution in real world driving.
Buying back all the affected vehicles could prove expensive to Volkswagen, with Bloomberg intelligence analyst Brandon Barnes estimating a cost of $9.4 billion. Currently, Volkswagen, Audi and Porsche are unable to sell any new 2016 diesel models in the U.S.
“Volkswagen is committed to resolving the U.S. regulatory investigation into the diesel emissions matter as quickly as possible and to implementing a solution for affected vehicles, as we work to earn back the trust of our customers and dealers and the public,” Volkswagen said in a statement today. “We continue to make progress and are cooperating fully with the efforts undertaken by Judge Breyer, working through Director (Robert) Mueller, to bring about a prompt and fair resolution of the U.S. civil litigation.”
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