Article content

The fallout from Volkswagen AG’s emissions scandal spread Tuesday, with shares plunging another 20 per cent as the automaker said as many as 11 million cars could be affected and it would set aside $9.6 billion to cover related costs.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or Canada launches investigation into Volkswagen cheating scandal but action unclear Back to video





The German car maker’s stock is tanking again today as angry owners say they feel defrauded by environmental claims that the company now admits were false.









[/np_storybar]

But as regulators around the world vowed to act, Environment Canada was vague about how it would respond to revelations the company cheated on emissions tests, fuelling criticism that Canada is toothless when it comes to punishing automakers’ indiscretions.

Later Tuesday the government agency did say it has opened an investigation into the matter.

“Upon becoming aware of this issue, Environment Canada acted quickly to examine potential implications for Canada and is in communications with its U.S. EPA counterparts and representatives of Volkswagen Group Canada Inc.,” it said in a release.