Two-thirds of Germans still believe Volkswagen builds “outstanding” cars, despite a high-profile emissions-test cheating scandal that has damaged its image.

As many as 65 per cent of respondents to a survey said they either fully or largely agreed the scandal was overdone and that VW still made excellent cars. The results of an independent online survey of 1,000 people were published on Monday by market research firm Prophet.

Six out of 10 said they did not believe the “Made in Germany” label would be damaged by the scandal in the long term, and 63 per cent believed the affair would soon be forgotten.

Some Germans have expressed concern that VW’s problems could harm other businesses that depend on the country's reputation for engineering prowess and reliability.

VW admitted last month it had cheated diesel emissions tests in the United States, unleashing one of the biggest scandals in its history and causing the downfall of Chief Executive Martin Winterkorn.

The auto industry accounts for more than 750,000 jobs in Europe's biggest economy, and politicians from Chancellor Angela Merkel down have rallied around the sector.