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In opening deals, Frankfurt's benchmark DAX 30 fell 0.80 percent to 9,837.13 points, as Volkswagen stock shed more than 13 percent in value.
Elsewhere, London's FTSE 100 index dipped 0.14 percent at 6,095.59 points and the CAC 40 in Paris slid 0.21 percent to 4,526.28, compared with Friday's close.
Volkswagen shares dived after it emerged over the weekend that some of its diesel cars in the United States had been fitted with software that gave false emissions data.