Meet Volkswagen group's CEO Herbert Diess, he has appointed as new CEO to replace the executive. Also, new brand groups - Volume, Premium and Super Premium, will be introduced.
His cost-cutting measures and other changes are seen at top levels to have been essential to the record earnings the vehicle group posted a year ago.
"In a phase of profound upheaval in the automotive industry, it is vital for Volkswagen to pick up speed and make an unmistakable mark in e-mobility, the digitalisation of the automobile and transportation as well as new mobility services", said Diess.
The administration shake-up signals VW's want to push ahead from the emanations outrage and proceed with its "Technique 2025" plan to construct greener vehicles.
Mueller, 64, was head of Volkswagen's richly profitable Porsche division when he unexpectedly was handed the CEO job in September 2015.
He has presided over a wide ranging restructuring of the company and its other brands. The most significant structural decision paves the way for a standalone stock listing of the trucks division with assets that Evercore ISI estimates at as much as 30 billion euros ($37 billion).
But Mueller himself landed in prosecutors' sights over suspicions he may have known about the cheating before it became public and failed in his duty to inform investors.
The VW cars with 2-liter diesels would meet emissions standards tests in a laboratory or testing station, but in normal operation, they emit nitrogen oxides at up to 40 times the standard, according to the EPA. Its brands also include Bentley, Scania, Skoda and Ducati.
VW administrator Hans Dieter Poetsch said in an announcement that Mr. Mueller had done "extraordinary work" for the organization.
However, Müller lost favor with the company's core shareholders as Mr. Diess showed more promise in the ability to turn around the Volkswagen brand.
Human resources head Karlheinz Blessing is being replaced by Gunnar Kilian, until now an official with the company's works council - or employee representatives - and Porsche sports auto division head Oliver Blume is being promoted to the top management body of the entire group, Volkswagen said.
Hans Dieter Pötsch, chairman of the supervisory board, said Diess was the right manager to ensure VW Group secured its position as an worldwide vehicle-maker, as well as being instrumental in shaping the future of personal mobility.
Also, the CEO of Porsche, Oliver Blume, will join the fundamental VW board.
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