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Chao Pitches Private Infrastructure Investment in Confirmation Hearing Heavy Duty Trucking / January 11, 2017 During her Senate confirmation hearing on Jan. 11, Elaine Chao unequivocally signaled her willingness to cooperate with Congress to enact the trillion-dollar infrastructure investment plan floated by President-elect Trump if she is indeed confirmed as the next secretary of transportation. In her written testimony and in reply to questions posed by Senators from both sides of the aisle, Secretary Chao advocated strongly for “unleashing the potential for private investment in our nation’s infrastructure.” Chao also affirmed that safety would remain DOT’s “primary objective” on her watch and asserted that, in her view, regularity decisions should be “based on sound science with solid underlying data.” From start to finish of her three-and-a-half hour appearance before the Senate Commerce Committee, Chao was poised and certain in her remarks, as might be expected from someone who has already held Cabinet rank. Chao served as secretary of labor throughout both terms of President George W. Bush; she received her first major executive appointment as deputy secretary of transportation under President George H.W. Bush. Members from both side of the aisle on the committee, which is known for its bipartisan bonhomie, lobbed little more than softballs at Chao and were largely satisfied with her oft-repeated response to one concern or another that she would “look forward to working with you on that if I am confirmed as secretary.” Early in the hearing, Chao said she would form a task force to implement the “Trump vision for infrastructure.” She had no details to share on the Trump infrastructure plan. However, Chao stressed that she would seek to have DOT work with Congress to “develop the details” of that still nebulous plan. More significantly, Chao emphasized the “significant difference between traditional program funding and other innovative financing tools, such as public-private partnerships.” Chao said getting private capital flowing into infrastructure projects will require “incentivizing” equity firms, pension funds, and endowments to invest in “a bold new vision” for building highways and other infrastructure. She spoke of creating “a mix of practical solutions—both public and private-- that provide the greatest cost-benefit to the public. It’s also important to recognize that the way we build and deliver projects is as important as how much we invest. We want to seek your advice in identifying and addressing unnecessary bottlenecks" that affect transportation projects. Referring to DOT’s primary goal of ensuring safe transportation, Chao said that necessary regulations needed to be “derived from sound science and data with risk-based analysis that prevents accidents before they happen” and that weighs both costs and benefits. Chao also commented on emerging transportation technologies. She applauded the private sector for driving such innovative developments as drones and both autonomous cars and trucks. She said DOT should work with Congress “to position the federal government as a catalyst for safe, efficient technologies, not as an impediment.” Summing up, Chao said she sees DOT as being responsible for “modernizing our transportation systems, strengthening our country’s competitiveness, and improving our quality of life.” “To my colleagues, I would say that, if you were to imagine an ideal candidate to tackle these challenges, it would be hard to come up with a more qualified nominee than the one before us,” said Committee Chairman John Thune (R-SD) in his opening remarks at Chao’s hearing.

Fleet Owner / January 12, 2017 Well connected nominee breezes through confirmation hearing Trucking didn’t get much of a preview of industry-specific priorities for the Trump administration but, if the Senate confirmation hearing for the Transportation Secretary nominee is any indication, whatever the incoming occupant of the White House wants in terms of planes, trains, and automobiles will be capably delivered to Congress by a smooth and well regarded insider. Indeed, space transportation—and even the relayed well-wishes from Chao’s “dear friends,” several senators’ wives—got more floor time than trucking issues in the Commerce Committee’s three-hour chummy chat with nominee Elaine Chao on Wednesday. That the hearing provided a platform for committee members to roll out their own transportation wish-lists rather than to challenge Chao’s credentials and President-elect Trump’s plans comes as no surprise: Chao led the Labor Department under George W. Bush and she has held other high-level political appointments. And she’s married to Senate Majority Leader Mitch McConnell (R.-KY), who introduced Chao at the hearing. In short, she’s the “ideal candidate” to lead the DOT, as Commerce Chairman John Thune said to open the hearing. For her part, Chao outlined broad goals but offered few details of how DOT under her leadership would achieve them. “The U.S. Department of Transportation has a rare opportunity to shape the transformation of our critical infrastructure,” she said in her opening statement. “First and foremost, safety will continue to be the primary objective.” Chao emphasized that infrastructure is the “underpinning” of the U.S. economy—yet the nation’s prosperity is jeopardized by “infrastructure in need of repair, the specter of rising highway fatalities, growing congestion, and by a failure to keep pace with emerging technologies.” Regarding Trump’s promised trillion-dollar construction program, Chao spoke several times of the need to “unleash the potential for private investment” and to supplement direct federal funding with “innovative financing tools” such as public-private partnerships. She assured the committee that she would keep Congress informed on the administration’s infrastructure plans through “continual and constant dialog,” and that such an ambitious program would be a “heavy lift” requiring bipartisan cooperation with the White House. As for regulations, federal rules “should be rooted in analysis derived from sound science and data, with risk-based analysis that prevents accidents before they happen, and considers both the costs and the benefits of new rulemakings.” For trucking specifically, Sen. Deb Fischer pointed to the FAST Act reforms of the Federal Motor Carrier Safety Administration—designed to make the regulatory process “more transparent, responsive, and open to input from stakeholders—and questioned Chao on “the best way” to keep passengers and freight moving across the transportation system, and to prevent DOT regulations from becoming “a burden.” “The great challenge for all regulators is to balance the ultimate goal of safety, but also to make sure the regulations are based on sound science and true data, and that the underlying analysis is solid,” Chao said. Fischer added that she looked forward to working with Chao to find solutions to problems such as the truck driver shortage. With regard to the Trump administration’s position on greenhouse gas regulations, such as the recent Phase 2 regulation of heavy-duty truck emissions, Chao said she was “not very familiar” with current DOT vehicle emissions initiatives and climate change issues. Not discussed in the hearing, but featured in her questionnaire for nominees, Chao emphasized the “first step” importance of identifying and hiring “the best people possible” for the positions that will be open in incoming administration. With the transition, several top leadership roles at FMCSA are now open and awaiting political appointees. According to the Plum Book, a directory of administration positions, those top jobs include Administrator, Chief Counsel , Director of Communications, and Director of Congressional Affairs. FMCSA Spokesman Duane DeBruyne confirmed for Fleet Owner that Deputy Administrator Daphne Jefferson, who serves as the Agency’s senior-ranking career employee—and absent of any temporary executive staffing appointment by the new administration—would automatically assume the both the duties and the full responsibilities of the FMCSA Administrator. “There is a clear and well established protocol for ensuring a seamless continuity of operations during a change in executive leadership,” said DeBruyne, who has served under four of FMCSA’s five Senate-confirmed administrators since the agency’s establishment in 2000. “Come Monday morning, Jan. 23, 2017, everyone in headquarters and in our service centers and in our field offices will be back at work – focused on truck and bus safety, reducing injuries and saving lives.”

Transport Topics / January 12, 2017 Volvo Trucks North America (VTNA) is recalling 6,127 of its model year 2013-2017 VNL and VNM trucks and model year 2017 VNX trucks with faulty software to prevent possible contamination of the brake system. The vehicles have incorrect software for controlling the electronic air dryer and that may result in oil and water contaminating the brake system, VTNA said. The recall is expected to begin Feb. 17, and VTNA will notify owners, and dealers will reprogram the vehicle control module and replace the air dryer filter, free of charge, the truck maker said. Owners may contact Volvo customer service at 800-528-6586. Volvo's number for this recall is RVXX1608. Volvo Trucks North America is a unit of Sweden-based Volvo Group.

On his first day in office, Trump should move to prohibit all Volkswagen car sales in the United States, until such time Germany turns over these five criminals. Done deal.

VW Managers Safe From Extradition, as Long as They Stay Home Bloomberg / January 12, 2017 Five German Volkswagen AG executives facing U.S. charges linked to the diesel-emissions scandal may be able to avoid jail, but they may never be able to travel beyond the Black Forest again. While Germany doesn’t extradite its citizens to countries outside the European Union, the U.S. can seek an international arrest warrant that would be executed if any of the men left the country. That’s the dilemma now facing Heinz-Jakob Neusser, Richard Dorenkamp, Bernd Gottweis and two others, who were charged Wednesday in a court in Michigan. "You always advise clients who are facing probes abroad not to leave German territory," said Heiko Lesch, a defense attorney in Bonn. “That’s true for any investigation in a foreign country regardless which one, at least when we’re talking about serious offenses.” At the same time Volkswagen agreed on Wednesday to plead guilty to an emissions-cheating scandal and to pay $4.3 billion, U.S. prosecutors announced charges against the five individuals in Germany, bringing the total number of company officials indicted to seven. Lawyer Warnings In the months leading up to this week’s corporate settlement and indictment against individuals, German lawyers had begun to warn VW executives not to leave Germany as fears of impending U.S. charges grew. The one executive who ignored the advice is now in a U.S. jail. Oliver Schmidt, the company’s liaison with U.S. regulators, was arrested at the Miami airport Saturday as he prepared to fly home from a poorly timed vacation. U.S. investigators had filed a criminal complaint against him on Dec. 30 at a U.S. District Court in Michigan. Called a flight risk by prosecutors, a U.S. judge has ordered Schmidt be held without bail pending trial. Neusser, VW’s engine development chief, Dorenkamp, who led the failed effort to design a diesel engine that would meet the tougher emissions standards the U.S. adopted for 2007, and Gottweis, who was responsible for quality management, were all charged with participating in a scheme to mislead regulators about how the company cheated on emissions tests. Jens Hadler, who led engine development from 2007 to 2011, and Juergen Peter, who worked on Gottweis’s group, were also indicted. U.S. prosecutors know from experience that the five other men will be able to evade capture as long as they stay in Germany. In a previous German scandal, U.S. officials in 2011 charged eight Siemens AG officials and agents in relation to a bribery scheme. None of the accused in the Siemens case appeared in court for four years, when one former executive traveled to New York to plead guilty. As part of a plea agreement, he agreed to provide information and testify against the others.

Note that, for political reasons (American-German relations), the two people at the core of Volkswagen's criminal act are not mentioned or charged by the DoJ, that being Ferdinand Piech and Martin Winterkorn.

Volkswagen AG Agrees to Plead Guilty and Pay $4.3 Billion in Criminal and Civil Penalties; Six Volkswagen Executives and Employees are Indicted in Connection with Conspiracy to Cheat U.S. Emissions Tests The United States Department of Justice / January 11, 2017 VW to Pay $2.8 Billion Criminal Fine in Guilty Plea and $1.5 Billion Settlement of Civil Environmental, Customs and Financial Violations; Monitor to Be Appointed to Oversee the Parent Company Volkswagen AG (VW) has agreed to plead guilty to three criminal felony counts and pay a $2.8 billion criminal penalty as a result of the company’s long-running scheme to sell approximately 590,000 diesel vehicles in the U.S. by using a defeat device to cheat on emissions tests mandated by the Environmental Protection Agency (EPA) and the California Air Resources Board (CARB), and lying and obstructing justice to further the scheme, the Justice Department announced today. In separate civil resolutions of environmental, customs and financial claims, VW has agreed to pay $1.5 billion. This includes EPA’s claim for civil penalties against VW in connection with VW’s importation and sale of these cars, as well as U.S. Customs and Border Protection (CBP) claims for customs fraud. In addition, the EPA agreement requires injunctive relief to prevent future violations. The agreements also resolve alleged violations of the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA). The Criminal Case: VW is charged with and has agreed to plead guilty to participating in a conspiracy to defraud the United States and VW’s U.S. customers and to violate the Clean Air Act by lying and misleading the EPA and U.S. customers about whether certain VW, Audi and Porsche branded diesel vehicles complied with U.S. emissions standards, using cheating software to circumvent the U.S. testing process and concealing material facts about its cheating from U.S. regulators. VW is also charged with obstruction of justice for destroying documents related to the scheme, and with a separate crime of importing these cars into the U.S. by means of false statements about the vehicles’ compliance with emissions limits. Under the terms of the plea agreement, which must be accepted by the court, VW will plead guilty to all these crimes, will be on probation for three years, will be under an independent corporate compliance monitor who will oversee the company for at least three years, and agrees to fully cooperate in the Justice Department’s ongoing investigation and prosecution of individuals responsible for these crimes. In addition, a federal grand jury in the Eastern District of Michigan returned an indictment today charging six VW executives and employees for their roles in the nearly 10-year conspiracy. Heinz-Jakob Neusser, 56; Jens Hadler, 50; Richard Dorenkamp, 68; Bernd Gottweis, 69; Oliver Schmidt, 48; and Jürgen Peter, 59, all of Germany, are charged with one count of conspiracy to defraud the United States, defraud VW’s U.S. customers and violate the Clean Air Act by making false representations to regulators and the public about the ability of VW’s supposedly “clean diesel” vehicles to comply with U.S. emissions requirements. The indictment also charges Dorenkamp, Neusser, Schmidt and Peter with Clean Air Act violations and charges Neusser, Gottweis, Schmidt and Peter with wire fraud counts. This case has been assigned to U.S. District Judge Sean F. Cox of the Eastern District of Michigan. Schmidt was arrested on Jan. 7, 2017, in Miami during a visit to the United States and appeared in federal court there on Monday. The other defendants are believed to presently reside in Germany. Today’s announcement was made by Attorney General Loretta E. Lynch, EPA Administrator Gina McCarthy and Assistant Administrator Cynthia Giles, Deputy Attorney General Sally Q. Yates, FBI Deputy Director Andrew McCabe, Acting Deputy Secretary Russell C. Deyo for the Department of Homeland Security, U.S. Attorney Barbara L. McQuade of the Eastern District of Michigan, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Assistant Attorney General John C. Cruden of the Justice Department’s Environment and Natural Resources Division and Principal Deputy Assistant Attorney General Benjamin C. Mizer of the Justice Department’s Civil Division. “Volkswagen’s attempts to dodge emissions standards and import falsely certified vehicles into the country represent an egregious violation of our nation’s environmental, consumer protection and financial laws,” said Attorney General Lynch. “Today’s actions reflect the Justice Department’s steadfast commitment to defending consumers, protecting our environment and our financial system and holding individuals and companies accountable for corporate wrongdoing. In the days ahead, we will continue to examine Volkswagen’s attempts to mislead consumers and deceive the government. And we will continue to pursue the individuals responsible for orchestrating this damaging conspiracy.” “When Volkswagen broke the law, EPA stepped in to hold them accountable and address the pollution they caused,” said EPA Administrator McCarthy. “EPA’s fundamental and indispensable role becomes all too clear when companies evade laws that protect our health. The American public depends on a strong and active EPA to deliver clean air protections, and that is exactly what we have done.” “This wasn’t simply the action of some faceless, multinational corporation,” said Deputy Attorney General Yates. “This conspiracy involved flesh-and-blood individuals who used their positions within Volkswagen to deceive both regulators and consumers. From the start of this investigation, we’ve been committed to ensuring that those responsible for criminal activity are held accountable. We’ve followed the evidence—from the showroom to the boardroom—and it brought us to the people whose indictments we’re announcing today.” “Americans expect corporations to operate honestly and provide accurate information,” said Deputy Director McCabe. “Volkswagen’s data deception defrauded the U.S. government, violated the Clean Air Act and eroded consumer trust. This case sends a clear message to corporations, no matter how big or small, that if you lie and disregard rules that protect consumers and the environment, you will be caught and held accountable.” “Blatant violations of U.S. customs and environmental laws will not be tolerated, and this case reinforces that,” said Acting Deputy Secretary Deyo. “These actions put our economy, consumers and citizens at risk, and the Department of Homeland Security and U.S. Customs and Border Protection will continue to take every step necessary to protect the American people.” According to the indictment, the individuals occupied the following positions within the company: Heinz-Jakob Neusser: from July 2013 until September 2015, Neusser worked for VW as head of Development for VW Brand and was also on the management board for VW Brand. From October 2011 until July 2013, Neusser served as the head of Engine Development for VW. Jens Hadler: from May 2007 until March 2011, Hadler worked for VW as head of Engine Development for VW. Richard Dorenkamp: from 2003 until December 2013, Dorenkamp worked for VW as the head of VW’s Engine Development After-Treatment Department in Wolfsburg, Germany. From 2006 until 2013, Dorenkamp led a team of engineers that developed the first diesel engine that was designed to meet the new, tougher emissions standards in the United States. Bernd Gottweis: from 2007 until October 2014, Gottweis worked for VW as a supervisor with responsibility for Quality Management and Product Safety. Oliver Schmidt: from 2012 through February 2015, Schmidt was the General Manager in charge of the Environment and Engineering Office, located in Auburn Hills, Michigan. From February 2015 through September 2015, Schmidt returned to VW headquarters to work directly for Neusser, including on emissions issues. Jürgen Peter: Peter worked in the VW Quality Management and Product Safety Group from 1990 until the present. From March 2015 until July 2015, Peter was one of the VW liaisons between the regulatory agencies and VW. According to the charging documents and statement of facts filed with the court, in 2006, VW engineers began to design a new diesel engine to meet stricter U.S. emissions standards that would take effect by model year 2007. This new engine would be the cornerstone of a new project to sell diesel vehicles in the United States that would be marketed to buyers as “clean diesel,” a project that was an important strategic goal for VW’s management. When the co-conspirators realized that they could not design a diesel engine that would both meet the stricter NOx emissions standards and attract sufficient customer demand in the U.S. market, they decided they would use a software function to cheat standard U.S. emissions tests. VW engineers working under Dorenkamp and Hadler designed and implemented a software to recognize whether a vehicle was undergoing standard U.S. emissions testing on a dynamometer or it was being driven on the road under normal driving conditions. The software accomplished this by recognizing the standard published drive cycles. Based on these inputs, if the vehicle’s software detected that it was being tested, the vehicle performed in one mode, which satisfied U.S. NOx emissions standards. If the software detected that the vehicle was not being tested, it operated in a different mode, in which the vehicle’s emissions control systems were reduced substantially, causing the vehicle to emit NOx up to 40 times higher than U.S. standards. Disagreements over the direction of the project were articulated at a meeting over which Hadler presided, and which Dorenkamp attended. Hadler authorized Dorenkamp to proceed with the project knowing that only the use of the defeat device software would enable VW diesel vehicles to pass U.S. emissions tests. Starting with the first model year 2009 of VW’s new “clean diesel” engine through model year 2016, Dorenkamp, Neusser, Hadler and their co-conspirators installed, or caused to be installed, the defeat device software into the vehicles imported and sold in the United States. In order to sell their “clean diesel” vehicles in the United States, the co-conspirators lied to the EPA about the existence of their test-cheating software, hiding it from the EPA, CARB, VW customers and the U.S. public. Dorenkamp, Neusser, Hadler, Gottweis, Schmidt, Peter and their co-conspirators then marketed, and caused to be marketed, VW diesel vehicles to the U.S. public as “clean diesel” and environmentally-friendly. Around 2012, hardware failures developed in certain of the diesel vehicles. VW engineers believed the increased stress on the exhaust system from being driven in the “dyno mode” could be the cause of the hardware failures. In July 2012, VW engineers met with Neusser and Gottweis to explain what they believed to be the cause of the hardware failures and explained the defeat device. Gottweis and Neusser each encouraged further concealment of the software. In 2014, the co-conspirators perfected their cheating software by starting the vehicle in “street mode,” and, when the defeat device realized the vehicle was being tested, switching to the “dyno mode.” To increase the ability of the vehicle’s software to recognize that it was being tested on the dynamometer, the VW engineers activated a “steering wheel angle recognition feature.” With these alterations, it was believed the stress on the exhaust system would be reduced because the engine would not be operating for as long in “dyno mode.” The new function was installed in existing vehicles through software updates. The defendants and other co-conspirators falsely represented, and caused to be represented, to U.S. regulators, U.S. customers and others that the software update was intended to improve durability and emissions issues in the vehicles when, in fact, they knew it was used to more quickly deactivate emission control systems when the vehicle was not undergoing emissions tests. After years of VW selling their “clean diesel” vehicles in the United States that had the cheating software, in March 2014, West Virginia University’s Center for Alternative Fuels, Engines and Emissions published the results of a study commissioned by the International Council on Clean Transportation (ICCT). The ICCT study identified substantial discrepancies in the NOx emissions from certain VW vehicles when tested on the road compared to when these vehicles were undergoing EPA and CARB standard drive cycle tests on a dynamometer. Rather than tell the truth, VW employees, including Neusser, Gottweis, Schmidt and Peter, pursued a strategy to disclose as little as possible – to continue to hide the existence of the software from U.S. regulators, U.S. customers and the U.S. public. Following the ICCT study, CARB, in coordination with the EPA, attempted to work with VW to determine the cause for the higher NOx emissions in VW diesel vehicles when being driven on the road as opposed to on the dynamometer undergoing standard emissions test cycles. To do this, CARB, in coordination with the EPA, repeatedly asked VW questions that became increasingly more specific and detailed, and tested the vehicles themselves. In implementing their strategy of disclosing as little as possible, Neusser, Gottweis, Schmidt, Peter and their co-conspirators provided EPA and CARB with testing results, data, presentations and statements in an attempt to make it appear that there were innocent mechanical and technological problems to blame, while secretly knowing that the primary reason for the discrepancy was their cheating software that was installed in every VW diesel vehicle sold in the United States. The co-conspirators continued this back-and-forth with the EPA and CARB for over 18 months, obstructing the regulators’ attempts to uncover the truth. The charges in the indictment are merely accusations and each defendant is presumed innocent unless and until proven guilty. The case was investigated by the FBI and EPA-CID. The prosecution and corporate investigation are being handled by Securities and Financial Fraud Unit Chief Benjamin D. Singer and Trial Attorneys David Fuhr, Alison Anderson, Christopher Fenton and Gary Winters of the Criminal Division’s Fraud Section; Trial Attorney Jennifer Blackwell of the Environment and Natural Resources Division’s Environmental Crimes Section; and from the U.S. Attorney’s Office for the Eastern District of Michigan, Criminal Division Chief Mark Chutkow and White Collar Crime Unit Chief John K. Neal and Assistant U.S. Attorney Timothy J. Wyse. The Justice Department’s Office of International Affairs also assisted in the case. The Justice Department also extends its thanks to the Office of the Public Prosecutor in Braunschweig, Germany. The Civil Resolutions: The first civil settlement resolves EPA’s remaining claims against six VW-related entities (including Volkswagen AG, Audi AG and Porsche AG) currently pending in the multidistrict litigation before U.S. District Judge Charles R. Breyer of the Northern District of California. EPA’s complaint alleges that VW violated the Clean Air Act by selling approximately 590,000 cars that the United States alleges are equipped with defeat devices and, during normal operation and use, emit pollution significantly in excess of EPA-compliant levels. VW has agreed to pay $1.45 billion to resolve EPA’s civil penalty claims, as well as the civil penalty claim of CBP described below. The consent decree resolving the Clean Air Act claims also resolves EPA’s remaining claim in the complaint for injunctive relief to prevent future violations by requiring VW to undertake a number of corporate governance reforms and perform in-use testing of its vehicles using a portable emissions measurement system of the same type used to catch VW’s cheating in the first place. Today’s settlement is in addition the historic $14.7 billion settlement that addressed the 2.0 liter cars on the road and associated environmental harm announced in June 2016, and $1 billion settlement that addressed the 3.0 liter cars on the road and associated environmental harm announced in December 2016, which together included nearly $3 billion for environmental mitigation projects. A second civil settlement resolves civil fraud claims asserted by U.S. Customs and Border Protection (CBP) against VW entities. VW entities violated criminal and civil customs laws by knowingly submitting to CBP material false statements and omitting material information, over multiple years, with the intent of deceiving or misleading CBP concerning the admissibility of vehicles into the United States. CBP enforces U.S. customs laws as well as numerous laws on behalf of other governmental agencies related to health, safety, and border security. At the time of importation, VW falsely represented to CBP that each of the nearly 590,000 imported vehicles complied with all applicable environmental laws, knowing those representations to be untrue. CBP’s relationship with the importing community is one based on trust, and this resolution demonstrates that CBP will not tolerate abrogation of importer responsibilities and schemes to defraud the revenue of the United States. The $1.45 billion paid under the EPA settlement also resolves CBP’s claims. In a third settlement, VW has agreed to pay $50 million in civil penalties for alleged violations of FIRREA. The Justice Department alleged that a VW entity supported the sales and leasing of certain VW vehicles, including the defeat-device vehicles, by offering competitive financing terms by purchasing from dealers certain automobile retail installment contracts (i.e. loans) and leases entered into by customers that purchased or leased certain VW vehicles, as well as dealer floorplan loans. These financing arrangements were primarily collateralized by the vehicles underlying the loan and lease transactions. The department alleged that certain of these loans, leases and floorplan financings were pooled together to create asset-backed securities and that federally insured financial institutions purchased certain notes in these securities. Today’s FIRREA resolution is part of the department’s ongoing efforts to deter wrongdoers from using the financial markets to facilitate their fraud and to ensure the stability of the nation’s financial system. Except where based on admissions by VW, the claims resolved by the civil agreements are allegations only. The civil settlements were handled by the Environmental and Natural Resources Division’s Environmental Enforcement Section, with assistance from the EPA; the Civil Division’s Commercial Litigation Branch; and CBP.

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FCA accused by EPA of failing to disclose software allowing excess diesel emissions Automotive News / January 12, 2017 The EPA has accused Fiat Chrysler Automobiles (FCA) of failing to disclose software in 104,000 diesel pickups and SUVs that allows them to exceed pollution limits. The EPA stopped short of calling the software in 2014-16 Jeep Grand Cherokee and Ram 1500s a “defeat device” but said the carmaker failed to disclose its use. FCA said it meets all applicable regulatory requirements and will work with President-elect Donald Trump’s administration to contest the allegations. The EPA and California Air Resources Board (CARB) told FCA they believe its auxiliary emissions control software allowed vehicles to generate excess pollution in violation of the law. "Failing to disclose software that affects emissions in a vehicle’s engine is a serious violation of the law," said Cynthia Giles, assistant administrator for EPA’s office of enforcement and compliance assurance, in a statement. "We continue to investigate the nature and impact of these devices. All automakers must play by the same rules, and we will continue to hold companies accountable that gain an unfair and illegal competitive advantage.” She added: “As regard to penalties, the notice of violation describes the civil penalty provisions of the law that may apply. So the statue provides for civil penalties of up to $44,539 per vehicle sold for the violations that are alleged in the N.O.V.” The maximum fine, in theory, would be about $4.6 billion. CARB Chairman Mary Nichols said: "Once again, a major automaker made the business decision to skirt the rules and got caught." The U.S. Justice Department is investigating, Fiat Chrysler said Thursday. FCA CEO Sergio Marchionne, during a call with journalists, angrily denied the company was cheating and has been in talks with EPA and made significant disclosures of documents. "We have done nothing that is illegal," he said. "There was never any intent of creating conditions that were designed to defeat the testing process. This is absolute nonsense." He characterized the dispute as whether the automaker had completely disclosed software that protects the engine, adding the company was planning updated software to address EPA concerns. He said the EPA and the company could have settled the issue in "a more efficient way" without the EPA announcement, and he said "I'm really pissed off" about reports that equate FCA's issues with VW's. "The way that it has been described, I think, has been unfair to FCA, and that is the thing that disturbs me most," Marchionne said. He also suggested regulators had a "belligerent" view of automakers. "There's not a guy in this (company) who would try something as stupid as (cheating on diesel tests) ... We don't belong to a class of criminals." Official statement FCA said in a statement: "FCA US is disappointed that the EPA has chosen to issue a notice of violation with respect to the emissions control technology employed in the company's 2014-16 model-year light-duty 3.0-liter diesel engines. FCA US intends to work with the incoming administration to present its case and resolve this matter fairly and equitably and to assure the EPA and FCA US customers that the company's diesel-powered vehicles meet all applicable regulatory requirements." An automaker can use an auxiliary emissions control device in limited circumstances to protect the engine from damage, but it must be declared to regulators. FCA's U.S.-listed shares initially plunged as much as 18 percent on the news. At closing, the shares were down 10 percent to $9.95. The EPA's announcement comes amid rising scrutiny by the agency of automaker emissions after Volkswagen AG admitted to cheating diesel emissions tests in 580,000 U.S. vehicles. EPA has reviews ongoing of other automakers' emissions systems, but it is not clear if they have found any additional wrongdoing. In April, Daimler AG said the U.S. Justice Department had asked the carmaker to investigate its emissions certification process for vehicles including its Mercedes brand. The EPA has for months declined to certify Fiat Chrysler's 2017 diesel vehicles for sale in the U.S., but the automaker has continued to sell 2016 diesel models. In September 2015, EPA said it would review all U.S. diesel vehicles following an admission from VW that it installed software in cars allowing them to emit up to 40 times legally permissible level of pollution. The EPA has extensively investigated the vehicles and Fiat Chrysler has turned over significant documents as part of the probe, two people briefed on the matter said. The probe covers FCA's diesel trucks and SUVs from the 2014-16 model years.

Sergio Marchionne is an acquaintance, and a super human being. He is NOT the likes of Volkswagen's Ferdinance Piech who without doubt gave final approval of Volkswagen's cheating software.

How the Trump dossier came to light: secret sources, a retired spy and John McCain The Guardian / January 12, 2017 What began as opposition research during the Republican primary slowly grew from a covert investigation into an extraordinary but unverified global story The extraordinary but unverified documents published on Tuesday on Donald Trump’s ties with Moscow began life as a piece of opposition research, which has become as much a part of US politics as yard signs and colored balloons. There is a small industry of research and investigative firms in Washington, typically staffed by a mix of former journalists and security officials, adept at finding information about politicians that the politicians would rather stay hidden. The firms often do not know who exactly is hiring them; the request could come from a law firm acting on behalf of a client from one of the parties. In this case, the request for opposition research on Donald Trump came from one of his Republican opponents in the primary campaign. The research firm [Fusion GPS] then hired one of its sub-contractors [London-based Orbis Business Intelligence operated by ex-MI6 officer Christopher Steele] who it used regularly on all things Russian: a retired western European former counter-intelligence official, with a long history of dealing with the shadow world of Moscow’s spooks and siloviki (securocrats). By the time the contractor had started his research, however, the Republican primary was over. The original client had dropped out, but the firm that had hired him had found a new, Democratic client. This was not necessarily the Hillary Clinton campaign or the Democratic National Committee. Opposition research is frequently financed by wealthy individuals who have donated all they can and are looking for other ways to help. By July, the counter-intelligence contractor [Orbis] had collected a significant amount of material based on Russian sources who he had grown to trust over the years – not just in Moscow, but also among oligarchs living in the west. He delivered his reports, but the gravity of their contents weighed on him. If the allegations were real, their implications were overwhelming. He delivered a set to former colleagues in the FBI, whose counter-intelligence division would be the appropriate body to investigate. It is believed he also passed a copy to his own country’s intelligence service, but it felt constrained in what action it could take and left it up to the Americans to do their own investigation and draw their own conclusions. As summer turned to autumn, the investigator was asked for more information by the FBI but heard nothing back about any investigation. The bureau seemed obsessed instead with classified material that flowed through a private email server set up by Clinton’s aides. The FBI’s director, James Comey, threw the election into a spin 11 days before the vote by announcing his investigators were examining newly discovered material. The former intelligence official grew concerned that there was a cover-up in progress. On a trip to New York in October, he was persuaded to tell his story to David Corn, the Washington editor of Mother Jones, who first reported the existence of the material on 31 October. The FBI however continued to refuse to comment on the issue, despite reports that it had requested and perhaps acquired a warrant for further investigation from the Foreign intelligence surveillance (Fisa) court. The silence was not altogether surprising. The FBI counter-intelligence division, headquartered in Washington, is extremely secretive, much more so than the New York field office, which had strong links to former prosecutor and mayor Rudy Giuliani, who was by then working for Trump. The threat of leaks from New York about Clinton emails had reportedly pushed Comey into making his October surprise announcement. In mid-November, the documents took another route into Washington that ultimately led to them being mentioned in the joint intelligence report on Russian interference that was delivered to President Obama and President-elect Trump. On 18 November, the annual Halifax International Security Forum opened in the Canadian city, bringing together serving and former security and foreign policy officials from around the world. Senator John McCain was there and was introduced to a former senior western diplomat [Sir Andrew Wood] who had seen the documents, knew their source and thought him highly reliable. McCain decided the implications were sufficiently alarming to dispatch a trusted emissary, a [unnamed] former US official, to meet the source and find out more. The emissary hastily arranged a transatlantic flight and met the source at the airport as arranged. The meeting had a certain cold war tradecraft to it, as he was told to look for a man with a copy of the Financial Times. Having found each other, the retired counter-intelligence officer drove the emissary to his house, where they discussed the documents and their background. The emissary flew back within 24 hours and showed McCain the documents, saying it was hard to impossible to verify them without a proper investigation. McCain said he was reluctant to get involved, lest it be perceived as payback for insulting remarks Trump had made about him during his rambunctious campaign. However, on 9 December, McCain arranged a one-on-one meeting with Comey, with no aides present, and handed them over. “Upon examination of the contents, and unable to make a judgment about their accuracy, I delivered the information to the Director of the FBI. That has been the extent of my contact with the FBI or any other government agency regarding this issue,” the senator said in a statement on Wednesday morning. It is not clear what underpinned the FBI’s decision to include a summary of the documents in its highly classified briefing to the president and president-elect and their top staff, before the bureau had completed its investigation. It may have been as a defensive measure, to prove for posterity that it was not involved in a cover-up, or because its investigators believed them to be credible. Whatever the motive, it was quickly leaked – first to CNN, which reported on the material on Wednesday. That triggered a controversial decision by BuzzFeed to publish an unredacted version of the documents on its website. It is unclear where the BuzzFeed version came from. The author of the reports had been insistent on blotting out references to his Russian sources in the copies he gave to the press, including the Guardian, out of fear for their safety. The unredacted version could have come from the original client, who commissioned the research, or from intermediaries between the counter-intelligence contractor and the client. -------------------------------------------------------------------------------- The New York Times / January 12, 2017 Christopher Steele, the former British intelligence agent who prepared the dossier on Trump’s supposed activities in Russia, has gone underground. The strange story of the dossier, which United States intelligence agencies, the FBI, Senator John McCain and many journalists have had for weeks, if not months, and which Trump presumably must have known about, appears to have had personal consequences for Steele. Steele hurriedly left his home in Surrey on Wednesday. Steele, 52, was a longstanding officer with MI6, the British equivalent of the CIA, serving in Paris and Moscow in the 1990s before retiring. In 2009, he started a private research firm, Orbis Business Intelligence Ltd., with Christopher Burrows, now 58. Burrows’s profile page on LinkedIn describes him as a former counselor in the Foreign Office, with postings in Brussels and New Delhi in the early 2000s. Diplomatic postings are sometimes used to provide cover for intelligence agents. He is known in British intelligence circles for his knowledge of the intricate web of Kremlin-tied companies and associates that control Russia. Steele, as a known former MI6 agent, was thought not to have gone to Russia in his investigations but to have used contacts inside and outside the country to prepare the dossier, which United States intelligence agencies have said they cannot substantiate. But the file was used to prepare a two-page appendix to the intelligence presentation American officials gave to Mr. Trump last Friday. John Sipher, who retired from the CIA in 2014 after 28 years, described Steele as having a good reputation and “some credibility.” Sipher was stationed in Moscow in the 1990s, and then ran the CIA’s Russia program for three years. “I have confidence that the FBI is going to follow this through,” Sipher said. “My nervousness is that these kind of things are going to dribble and drabble out for the next several years and cause a real problem for this administration going forward.”

The current Navistar engines employing an SCR emissions solution are not experiencing any issues, including the 12.4-liter MAN D26 license-built "N13". https://www.internationaltrucks.com/-/media/navistar/trucks/pdf/brochure/n13_speccard.pdf Scania aside, I would take a Navistar N13 (MAN D26), Detroit (Daimler) or Cummins with their Bosch or Cummins-Scania XPI high-pressure common rail fuel injection over a Volvo engine with inferior Delphi fuel injection (unit pump or the new jury rig). The Paccar MX (DAF) with its Bosch unit pump injection is also significantly better.

One can find a lot of humor within the confirmation hearings. -------------------------------------------------------------------------------- “I’m in no position to speak” on behalf of [Exxon] company executives, Secretary of State nominee Rex Tillerson said, dodging Senator Tim Kaine’s (D-Va.) questions about the company where he worked for 40 years. “You would have to speak to them.” At one point, Kaine asked, “Do you lack the knowledge to answer my question, or are you refusing to do so?” “A little of both,” Tillerson responded. --------------------------------------------------------------------------------- Tillerson told Senator Robert Menendez (D-N.J.) that “to my knowledge, Exxon never directly lobbied against [Russia] sanctions.” Senator Bob Corker of Tennessee, chair of the Senate foreign relations committee, interjected: “I think you called me at the time” when the Russia sanctions were being debated. Congressional lobbying records show Exxon lobbied on many Russia sanctions bills. (As chairman and CEO of ExxonMobil from 2006 to 2016, it is impossible to believe that Tillerson had no knowledge of the company he led lobbying against sanctions.)

You're right. If you recall, I explained before to you why.

Again, some people need it, many don't. But at the end of the day, it's the customer's decision. And Cummins and Daimler have collectively sold thousands of ISX15, DD15 and DD16 engines in our country. The customer speaks. Why do we sell so many V8s? Drive one.........and you'll know. It's hard to explain or,.........it's really not that hard. It's a feeling, a sense........of being in control.........and having access to.........all that power whenever you need it. Knowing that you're going to keep that steady pace over that next crest........... Overtake that truck in front of you..........without effort. You know? It's like another way of driving..........my way. .

Volkswagen Truck & Bus (Brazil) Press Release / January 9, 2016 VW’s purchase and sale of used trucks jumped 80% in 2016 Volkswagen’s used truck business continued to gain prominence in 2016. For the year, the truckmaker took in 541 trucks as trades on new truck purchases. The activity represented a 80 percent rise in trades over 2015. "We noticed that our customers wanted to renew their fleets, but had difficulty in selling their retiring trucks due to the low in Brazil’s economy," says Ricardo Alouche, VW Truck & Bus vice president of sales, marketing and after-sales. Trade-in trucks acquired by Volkswagen undergo a rigorous bumper-to-bumper inspection before being resold. "In this moment with a recessive economy and high competition, we need to ensure that we remain Brazil’s truck sales leader by creating new business options for our customers," said Alouche. .

Car 2 Finishes at 14th Overall for the SS on the First Day of the Second Half of the Rally. Advances to 10th in Accumulated Overall Rankings. Having been previously shortened to 161km due to bad weather, organizers decide to end the day’s SS at the 141km point. On January 9, Stage7 La Paz (Bolivia) - Uyuni (Bolivia) Liaison: 404km SS: 161km Liaison: 240km Total: 805km On Jan. 9, the first day of the second half of Dakar Rally 2017, contestants raced in Bolivia en route from La Paz to Uyuni. Organizers originally scheduled a 322km SS for the day but were forced to shorten it to 161km due to inclement weather. Meanwhile, organizers also rerouted the liaison route to areas that were less affected by the rain, making this a long 805km stage, about 180km longer than originally planned. The first half of the day challenged racers with small ergs on sandy off-piste terrain where they battled to cross sand ridges. The sand was relatively deep which meant that truck crews had to be on extra alert. In the latter part of the day, the terrain transitioned to gravel piste which also featured a number of muddy areas. Competition for the trucks category was cut short at the 141.37km point due to road conditions that had deteriorated from the rain, and trucks were redirected to paved roads which took them to Uyuni. HINO TEAM SUGAWARA’s HINO500 Series trucks, both of which have been fully refreshed by the mechanics on the rest day yesterday, had good runs throughout the SS. The Teruhito Sugawara and Hiroyuki Sugiura crew piloting Car 2 made no navigational errors, finishing at 14th overall and top in the Under 10-litre Class. Car 1 piloted by Yoshimasa Sugawara and Mitsugu Takahashi also delivered solid performance finishing the SS 36th overall and 2nd in the Class. Based on these results, Car 2 advanced its accumulated overall standings as of Jan. 9 to 10th spot. Car 2 is also inching its way up in accumulated overall standings at 31st place. Car 2 and Car 1 continue to maintain their 1-2 positions in the Under 10-litre Class. The Uyuni bivouac was set up as the marathon stage camp on a military facility, which meant that there would be no assistance crews to be seen here. This marathon stage will not be a Parc-Fermes stage where the racing vehicles are completely isolated from the crews, but a Parc-de-Travail stage where crews will be allowed to service their vehicles themselves. So while neither of HINO TEAM SUGAWARA’s trucks have been having any problems, the crew kept themselves busy carrying out inspections. Car 1’s arrival at Uyuni after its SS finish has not been confirmed as of 10:00 pm, the deadline for this update. Although the longest SS in this year’s event had been scheduled for tomorrow, Jan. 10―a 492km SS straddling the Bolivian-Argentine border between Uyuni and Salta―organizers once again have had to shorten it due to the effects of rain. The first half of the SS set within Bolivian borders has been shortened to finish at the 174km point. The latter half of the SS across the border in Argentina has been canceled for the trucks category, shortening the SS from the scheduled 492km to 174km. Teruhito Sugawara: While today’s SS was not particularly challenging, we did have to stay alert. I believe our finish position was fitting considering our current capabilities. We have been able to improve our accumulated standings as a result, but I’m actually more concerned with our time difference with the leaders than our standings. Today will be a marathon bivouac but we have hardly had any driving related problems thanks to our focus on solid truck building. I’m disappointed that the stage for tomorrow has been cut short again, but there isn’t much anybody can do about that. .

Twists and turns on a long road to expose VW emissions cheating The Financial Times / January 10, 2017 Sophisticated tests set off panic among community of employees aware of the swindle Volkswagen is prepared to plead guilty to US criminal charges and pay a $4.3bn fine tosettle the diesel emissions scandal — a remarkable sum for a decade-long swindle whose discovery began with this simple question: why are diesel cars in the US so much more eco-friendly than in Europe? In retrospect the question looks suspect: diesel had a tiny market share in the US, but in Europe it accounted for half the market. It would be implausible that the US technology would be superior. But in late 2012, John German, a senior fellow at the nonprofit International Council on Clean Transportation, thought he had an answer. Having spent 13 years working for the Washington-based Environmental Protection Agency, Mr German knew how strict its compliance and enforcement was. He figured that accounted for forcing car manufacturers to make diesel “clean”. “Our goal was to test the diesels in the US, prove that diesels could be clean, take the data back to Europe and say, ‘hey, they can do this in the US, why can’t you do this in Europe?” he told the FT on Tuesday after VW said it was in “advanced talks” to finalise a criminal settlement with the Department of Justice. Problems were apparent as soon as the ICCT began testing Volkswagen diesel cars in 2013. Mr German’s real-world tests were showing nitrous oxide emissions at up to 35 times the permitted levels. West Virginia University, which sponsored the study, kept recalibrating its equipment as if it were faulty. When that did not work, it suspected the particular cars must be malfunctioning — and yet, curiously, they passed emissions tests in the laboratory. It soon became clear to Mr German what the problem was: “It had to be a defeat device,” he said, referring to illegal software that allowed the cars to realise they were being tested and enter a low-emission mode. “There was no other explanation.” However, he felt he could not say anything publicly. “The words defeat device do not pass your lips when you’re dealing with a multibillion-dollar company. It’s just way too dangerous. So I just kept my mouth shut.” The ICCT released the findings of the study in March 2014. It did not mention illegal software or name what car models were tested, but the ICCT sent copies to Volkswagen and the EPA. Mr German said he felt certain the EPA would soon uncover the defeat device. But the discovery took more than a year, as Volkswagen engineers and executives frustrated US regulators’ attempts to understand the nature of the irregularities, according to criminal complaint filings. For months VW “intentionally made . . . false and fraudulent statements” to make the discrepancies appear as if they were “innocent mechanical and technological problems”, one complaint says. Oliver Schmidt, then head of VW’s US compliance team, learnt of the ICCT study by April 2, 2014, and wrote to a colleague, “It should first be decided whether we are honest. If we are not honest, everything stays as it is,” according to a criminal complaint unsealed on Monday, two days after the Federal Bureau of Investigation arrested Mr Schmidt for alleged fraud. The California Air Resources Board and the EPA continued testing the vehicles with growing sophistication, tricking the cars’ computers into thinking they were in the real world and setting off a panic among the community of VW employees aware of the fraud. On June 29, 2015, an unnamed VW employee wrote that the regulators must be prevented from testing VW’s older, “Generation 1” cars in the testing lab, according to a US criminal complaint unsealed in September. “If the Gen 1 goes onto the roller at the CARB,” the employee wrote, “then we’ll have nothing more to laugh about!!!!” US regulators only learnt for certain that Volkswagen was cheating the tests on August 19, 2015, when a VW employee in engine development “disclosed, in direct contravention of instructions from his management”, that certain VW cars could detect when they were being tested and enter a low-emissions mode, the complaint unsealed on Monday says. VW officially acknowledged the illegal software to CARB and the EPA on September 3 that year, but still they withheld telling the public. The EPA issued a rare notice of violation on September 18, detailing the cheating. Within days, VW admitted it had installed the software in 11m cars worldwide beginning in 2008. Chief executive Martin Winterkorn resigned but admitted no wrongdoing on his part. VW soon admitted that its fraud dated back to 2006, when the German carmaker adopted an aggressive strategy to boost sales in the US. The goal had been to take on increasingly popular hybrid models by marketing “clean diesel” cars that supposedly reduced “sooty emissions by up to 90% compared to previous diesel engines”. Even now, nearly 16 months after VW’s admission of cheating, much remains unclear. Only one VW engineer, James Liang, has pleaded guilty. Mr Schmidt was only the third arrest, after an unnamed executive in South Korea was sentenced to 18 months in prison last week for fabricating documents. It remains unknown who authorised the cheating or how high up the totem pole knowledge of it went. The complaint against Mr Schmidt alleges that he and others briefed “executive management” in Wolfsburg on the software in July 2015, and assured them that US regulators were not aware of the defeat device. The executives “authorised its continued concealment”, the complaint states. Volkswagen and the Department of Justice are to reveal a “statement of facts” about the scandal at some point, though it is unclear if it will be a part of the settlement expected this week. When they do, lawyers in Europe are expected to seize on it in the hope of using it as leverage to seek damages in the region, where VW maintains that the software it used to bypass emission tests was not against the law. Ingo Speich, a senior portfolio manager at Union Investment in Germany, said even with the US criminal fine being finalised the outstanding litigation risk for VW remains huge. “It’s still too early to say the worst is over,” he said.

My personal experience was the "300" remained competitive thru 1980. We were weak in the 350hp range with the 2VH, but the E6-350 4VH engine resolved that. It was one of the best engines we ever made. And in big power, we had the V-8.

Dakar 2017: IVECO wins two podium places and overall lead Iveco Trucks Press Release / January 10, 2017 The 2017 Dakar Rally caravan is again moving after two days without race activity due to heavy rain in Bolivia. The organisation was forced once again to shorten Stage 7, as a result of the continuous bad weather affecting the roads. The 322 kilometres special was cut to half and only 161 kilometres were taken into account for the clock in a mixed stage with sections of Stage 6 – which was cancelled on Saturday – and Stage 7. This is the beginning of the "Marathon Stage", where the teams of all categories except Trucks are not allowed to work on their cars and only the drivers are allowed to do the job. Despite of the difficulties for the participants, it has been a great day for the PETRONAS De Rooy IVECO Team. With the #507 Trakker, Ton van Genugten finished in the second place, only 2m51s behind Sotnikov, winner of the day. The Dutchman benefits from this fantastic result to advance in the overall classification, after a hard end of the first part of the Dakar. Gerard de Rooy, last Dakar winner in Trucks, secured a good fourth place that keeps him in the overall lead in his #500 Powerstar with five stages still to run until the arrival in Buenos Aires. Wuf van Ginkel, with the #525 Iveco Trakker, fell back to 13th place, 12 minutes behind the leader. This puts him more than seven hours behind the leaders and outside the Top 20 in the overall classification. In the #502 Powerstar, Federico Villagra achieved another podium finish and arrived third in Uyuni, less than one minute behind Ton van Genugten. The Argentine driver is now in fifth position, placing a second IVECO inside the Top 5 in the overall classification. The race will continue on its way to Argentina tomorrow, in a very long day for the participants. Almost 900 kilometres will be run, with 492 of them in a timed stage between Bolivia and Argentina. Stage 7 Results – Dakar 2017 1. Dmitry Sotnikov (Kamaz) 1h41m35s 2. Ton van Genugten (IVECO) +2m51s 3. Federico Villagra (IVECO) +3m37s 4. Gerard de Rooy (IVECO) +4m25s 5. Siarhei Viazovich (Maz) +5m22s ----------- 13. Wuf van Ginkel (IVECO) +12m19s Overall Classification – Dakar 2017 1. Gerard de Rooy (IVECO) 15h52m07s 2. Dmitry Sotnikov (Kamaz) +2m11s 3. Eduard Nikolaev (Kamaz) +5m57s 4. Airat Mardeev (Kamaz) +20m12s 5. Federico Villagra (IVECO) +33m42s ----------- 20. Ton van Genugten (IVECO) +6h05m29s 22. Wuf van Ginkel (IVECO) +7h12m28s .

The Mack dealer body has been demoralized by Volvo for some time now, due to explainable sales marketing decisions including available product, and losing deals by $10,000 to $15,000. On one hand, they now feel naked without a large engine offering when the competition can all take orders for 15L and 16L engines. On the other hand, Volvo has never made the D16 available in any variant of the Pinnacle (e.g. Rawhide Edition), or Granite. So in fact, the Mack brand hasn't been able to compete on equal terms for some time. Unlike the Granite Series, one can order a Freightliner 122SD with either the DD15, DD16 or X15 (ISX15). I liken the Granite to the 122SD more than the Titan. Similarly, unlike the Pinnacle Series, one can order a Freightliner "New Cascadia" with either the DD15, DD16 or X15 (ISX15). Going up against the competition, the Mack brand dealer is empty handed. And yes, this IS one reason why Daimler has the largest Class 8 market share in the US market and Canada. Yes, the D11 (MP7) and D13 (MP8) can satisfy the needs of most customers*, providing a cheaper, lighter and more fuel-efficient alternative. But what about the customer's engine preference? This is European Volvo thinking, in that they want to tell you what engine you need, rather than listen to what engine the customer is saying they want. In the global market, Volvo dictates to the customer (and dealer body). But that business attitude doesn't fly in the US market. * Engine braking performance (Jacobs) is of course relative to displacement.