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在线翻译:
szdaily -> World Economy -> 
Volkswagen to replace CEO
    2018-04-12  08:53    Shenzhen Daily

VOLKSWAGEN AG (VW) is poised to replace chief executive Matthias Mueller with the head of its core VW brand, Herbert Diess, sources familiar with the matter said, as it looks to give fresh impetus to its recovery from an emissions scandal.

The German carmaker said Tuesday it was considering a change in leadership as part of a broader management overhaul, but gave few details. The 64-year-old Mueller’s contract is due to run until 2020.

The move comes after Europe’s largest automaker has been hampered by infighting among its powerful stakeholders, which include the Porsche and Piech families, the German state of Lower Saxony and labor leaders.

Mueller, a company veteran, was installed at short notice in 2015, a week after the company admitted to cheating U.S. diesel emission tests, prompting criticism from some investors who said that only an outsider could rebuild trust in the business.

He launched an ambitious reform plan, including investing billions of euros in electric vehicles, but has struggled to push through changes aimed at creating a more efficient and focused company. Amid opposition from labor leaders, Mueller failed to sell motorbike maker Ducati last year.

It is unclear how soon Diess, a former BMW executive who joined VW in July 2015 and has clashed with the company’s labor leaders, might replace Mueller. Unions and Lower Saxony together have the power to block his appointment.

Volkswagen is due to discuss a stock market listing for its trucks and bus division at a supervisory board meeting Friday, two people close to the carmaker said.

That plan comes as rivals, including Fiat Chrysler and Daimler, consider spin-offs or legally separate divisions to boost their share prices and raise cash to fund development of electric and self-driving cars.

Despite facing billions in fines, vehicle refits and lawsuits relating to its “dieselgate” scandal, Volkswagen’s operating results have been robust under Mueller’s watch, with sales and profit hitting record highs last year.

But the persistent tug of war between its controlling families, unions and other stakeholders have made it difficult to drive through structural changes that investors have said are key to the company fulfilling its potential.

Mueller has expressed frustration with the pace of Volkswagen’s transformation and more recently about his ability to turn around the brand’s image following revelations the company had tested toxic fumes on monkeys.

Volkswagen’s shares have outperformed the European autos sector index by 10 percent over the past three years. (SD-Agencies)

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