Renault to step up R&D in cleaner cars after VW scandal
PARIS (Reuters) - French carmaker Renault (RENA.PA: Quote) said on Thursday it would accelerate the development of cleaner diesel vehicles in response to the Volkswagen emissions-cheating scandal.
Small diesel cars, which have been helped by tax breaks in countries like France, currently account for about 60 percent of European sales by Renault (RENA.PA: Quote), making the French carmaker and its domestic rival Peugeot particularly vulnerable to the backlash against diesel.
Volkswagen admitted in September to rigging U.S. diesel emissions tests, unleashing a scandal that forced out longstanding CEO Martin Winterkorn and may cost the group as much as 40 billion euros ($43 billion) in recall costs, fines and compensation, some analysts estimate.
(Reporting by Michel Rose)
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