VW offers deals for Canadian customers

Automaker aiming to offset losses after suspending sales of diesel-powered vehicles

Volkswagen Canada is offering incentives to attract customers and offset lost sales since its parent company admitted last month that it cheated on government emission tests on diesel-engine models.

Until Nov. 2, Volkswagen says it is offering a choice of lower finance rates, lower lease rates and cash incentives on select vehicles.

“The incentives were implemented to support our customers and dealers during the period in which our TDI diesel sales remain suspended pending resolution of the recent EPA Notice (from the U.S. Environmental Protection Agency),” a VW Canada spokesman said in an email.

The TDI diesel engines were available on a variety of models that accounted for nearly 22 per cent of VW Canada’s sales before Sept. 22, when the company told dealers to stop selling the models in question.

“That figure is now lower, as all sales since have been of gasolinepowered cars,” Volkswagen Canada said Friday. As of Thursday, VW Canada’s choice of incentives included finance interest rates as low as zero per cent for up to 84 months, depending on the model. Or, customers can opt for lease rates as low as 0.9 per cent for up to 48 months, depending on the model, or up to $6,000 cash back.

On top of those options, VW is offering up to an additional $1,500 in bonus cash.

The U.S. EPA disclosed last month that stealth software made VW’s 2009-15 model cars powered by 2.0litre diesel engines run cleaner during emissions tests than in actual driving. The fallout from that revelation has included investigations in other countries, class-action lawsuits against the company and a drop in VW’s stock price.

Volkswagen Canada announced on Sept. 22 that dealers had been instructed to suspend the sale and delivery of any new Golf, Golf Sportwagon, Jetta, Beetle or Passat models with 2.0 TDI engines until further notice.