Burning a cargo ship carrying 4,000 cars could cost Volkswagen 137 million euros

The fire on a large cargo ship last week, carrying about 4,000 cars from the Volkswagen Group, threatens to cost the automaker at least $155 million (converted about 137 million euros). This was calculated by the specialized company Russell Group, which conducts risk assessments.

the ship, Felicity Ace has caught fire off the coast of the Azores† It is estimated that there could have been $401 million (€354 million) worth of cars on board. These include Volkswagen, Porsche, Bentley, Audi and Lamborghini cars. A Volkswagen spokesman declined to comment at the moment.

According to the risk analysis, other automakers will lose about $246 million (€217 million) from the ship’s fire, assuming all cars are lost in the fire.

It is not yet clear what caused the fire, but specialists believe there is a good chance that an electric car caught fire spontaneously. One thing is for sure: electric cars contribute to the intensity of the fire and make it more difficult to put out.

“The battery of an electric car can start to catch fire again and again,” explains Wilfried Lemmens, director of the Belgian Shipowners’ Association. “In reality, the fire service should submerge the electric vehicle in a container with water, but that is impossible because the cars are shock absorbers in the ship’s hold against other burning electric cars.”