Mercedes-Benz faces massive recall in Europe

Mercedes-Benz faces massive recall in Europe

Mercedes-Benz faces massive recall in Europe

The emissions scandal has hung over the German auto industry since September 2015, when Volkswagen admitted to using software that could tell when a diesel vehicle was being tested and temporarily lower its toxic emissions to pass US regulations.

With the new recall, Daimler is escaping massive fines of approximately $4.4 billion (estimated).

"The government will order 238,000 Daimler vehicles to be immediately recalled Germany wide because of unauthorised defeat devices", the Ministry said.

Daimler AG, parent of Mercedes-Benz has been forced to recall around 774,000 vehicles across its C-Class, GLC and Vito model lines in Europe, after being accused by German authorities of fitting emissions defeat devices in certain diesel models. "An immediate formal recall because of prohibited shutoff devices" is required for the Mercedes-Benz GLC and C-Class models, which join the already recalled Vito van.

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It's now unclear how many models in the United Kingdom are impacted.

German authorities have been cracking down on manufacturers since the Volkswagen Dieselgate scandal first besmirched the reputation of its domestically produced vehicles.

Zetsche or Daimler didn't say anything about what the company's software may be created to do, but it's the second large fix for the automaker in as many years.

For their part, German firms have announced dozens of new electric and hybrid models for the coming years in a bid to bring down emissions of both greenhouse gas Carbon dioxide - the original reason they turned to diesel - and of harmful NOx.

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Daimler (DAIGn.DE) shares fell following a report that up to a million Daimler cars contained illegal defeat devices as Chief Executive Dieter Zetsche prepared to meet the transport minister on Monday.

Daimler said it would fully cooperate to remove the technology that's now in the firing line.

It is not the first time Daimler has faced problems with its emissions software.

Arndt Ellinghorst, an analyst with Evercore ISI in London, told Bloomberg that there's no evidence that Daimler was actively designing the software to cheat regulations and emission rules in the European Union.

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