Volkswagen branded sales drop for first time in 11yrs

German carmaker Volkswagen has posted its first drop in VW brand sales in 11 years as the company continues to cope with its emissions scandal.

Sales of VW brand cars fell 4.8 percent in 2015 to 5.82 million cars from 6.12 million a year earlier.

Falling demand in China and US added to the losses as orders fell in December.

VW has promised it will have a fix in the coming weeks for the millions of US cars with defeat devices that disguised emission levels in diesel cars.

Sales began declining after the scandal came to light in September. Deliveries fell 5.3 percent in October, 2.4 percent in November and 7.9 percent in December compared with those months the previous year.

The underperformance at VW's largest division by sales and revenue pulled down annual group deliveries by 2 percent to 9.93 million cars, the first drop in 13 years, VW said.

However, speaking on Wednesday, Volkswagen chief executive Herbert Diess said he was "optimistic" the company would find a solution soon. "We will bring a package together which satisfies our customers first and foremost and then also the regulators," said Diess.

Regulators appear been less confident. The Environmental Protection Agency (EPA) which uncovered the scandal, said on Monday that VW had not yet "not produced an acceptable way forward".

The company will meet US regulators in Washington next week to discuss its plan.

On Monday, the US Justice Department filed a lawsuit against VW for the use of the emissions devices, which involve computer software that can detect when cars are being tested.