The announcement comes as Volkswagen faces a scandal over rigging the results of emissions testing of its diesel vehicles in the US.
It means that one of the company's most experienced managers will not be coming to lead the company's response in the United States as it faces possible heavy fines from the Environmental Protection Agency.
Volkswagen's Skoda division made the announcement about its chairman, Winfried Vahland, in a news release on Wednesday.
The release said that Vahland will not be moving to take over his new position carrying overall responsibility for North America. It said his decision to quit was not related to the scandal over the diesel engines.
The announcement came the same day Volkswagen named Matthias Mueller as CEO after Martin Winterkorn stepped down from the job.
VW had said Horn would remain as president and CEO of Volkswagen Group of America, but its U.S., Canada and Mexico markets will be "combined and significantly strengthened" to form a new "North America region" led by Vahland.
Vahland, the former head of VW's crucial China business, was leaving because of "differing views on the organization of the new group region."
"We respect his decision and thank him for his exceptional performance," Mueller was quoted as saying in the Skoda statement.
Skoda, based in the Czech Republic, is one of VW's brands, which also include Audi, SEAT, Lamborghini and Bentley.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →
Smart Quarterly
₹900
3 Months
₹300/Month
Smart Essential
₹2,700
1 Year
₹225/Month
Super Saver
₹3,900
2 Years
₹162/Month
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors


Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share


Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor


Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements


Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
