Germany requests EU mediation in Fiat dispute

Bloomberg

The European Commission said Germany requested that it mediate a dispute with Italy over whether Fiat Chrysler Automobiles NV’s vehicles breached emissions rules.
“We will now assist the German and Italian authorities to the extent possible with a view to facilitating a common understanding of the car manufacturer’s compliance, or lack thereof,” commission spokeswoman Lucia Caudet said by e-mail on Saturday in Brussels. “Our role is one of mediating, not arbitrating.”
The German Transport Ministry wanted the European Union’s executive arm to intervene in the feud with its Italian counterpart by setting up consultations to resolve disagreements over test results on Fiat cars, according to a letter dated Wednesday obtained by Bloomberg News.
Germany stepped up scrutiny of automobile emissions in the aftermath of Volkswagen AG’s emissions-cheating scandal, including reviewing carmakers outside its jurisdiction. Under EU rules, Italy is responsible for testing Fiat cars because the automaker’s regional operations are based in the country.
The Italian Transport Ministry’s tests showing Fiat used no unauthorized devices on its vehicles still stand, an Italian government official said on Friday, asking not to be identified by name because the government isn’t officially commenting.
Fiat, which declined to comment on
Germany’s letter, said in May that “all
its vehicles comply with emissions regulations and the company doesn’t cheat on emissions tests.”