Volkswagen says false CO2 emissions affect only 36,000 cars.
Europe's largest carmaker had previously admitted to installing cheat software on up to 11 million vehicles worldwide with smaller diesel engines.
Volkswagen said last week it would recall and refit 8.5 million vehicles in the European Union.
Martin Winterkorn, the former boss of Volkswagen who quit last month, will step down from his remaining posts related to the company.
Volkswagen has come under fire from various authorities.
Volkswagen is looking at ways to cut costs and boost cash flow.
Volkswagen announced plans on Tuesday to refit up to 11 million vehicles and overhaul its namesake brand.
The scandal has also rocked the wider car market, with manufacturers fearing a drop in diesel car sales.
Audi says 2.1 million cars affected by diesel emission scandal.
The company said it would appoint a US law firm to conduct a full investigation
Volkswagen will start firing people responsible for rigging US emissions tests and shake up management on Friday,
Volkswagen did not name a successor, but said proposals on management appointments would be made to a full board meeting on Friday.
Volkswagen is under huge pressure to act, with its shares down more than a third in value since the crisis broke, and the bad news still coming.
Volkswagen AG said a scandal over falsified US. vehicle emission tests could affect 11 million of its cars around the globe.
Late on Monday, Volkswagen's U.S. chief Michael Horn said the company had "totally screwed up" and promised to make amends.
Volkswagen is lowering group financial targets for this year after setting aside about 6.5 billion euros ($7.27 billion) in provisions this quarter.
Volkswagen overtook Toyota as the world's largest carmaker by sales.
Suzuki Motor Corp's 85-year-old CEO Osamu Suzuki named his eldest son as the new president of Japan's fourth-biggest automaker, easing investor concerns over the firm's succession plan and boosting the company's shares by more than 5 percent.
The brand contributes about 40 percent to VW group earnings.
BMW said in a statement 'binding agreements' signed with Toyota also foresee to jointly develop an architecture and components for sports vehicles.