Mercedes-Benz parent issues emissions recall
Daimler says it will fix more than 3M vehicles in Europe
Mercedes-Benz parent company Daimler issued a major recall in Europe to fix diesel vehicles amid speculation that regulators are probing whether the company violated emissions standards.
Daimler said Tuesday it would repair more than 3 million vehicles in Europe to reduce nitrous oxide emissions.
Excessive NOx emissions enveloped fellow German automaker Volkswagen Group in a scandal when it was revealed in September 2015 that the company had intentionally evaded regulations.
Though Daimler did not immediately announce any recalls for the U.S. market, that could come soon. U.S. regulations on diesel emissions are stricter than European standards.
Daimler has been under scrutiny in Europe with public reports indicating that German prosecutors are investigating the company’s diesel vehicles to determine whether they contain software designed to beat emissions tests.
Following the VW scandal and the U.S. government’s lawsuit against Italian-American automaker Fiat Chrysler over its own diesel emissions, diesel “bashing has become more fashionable than popping Rosé corks in the South of France,” Evercore ISI analyst Arndt Ellinghorst said Thursday in a bulletin.
Daimler said it would spend about $254 million to fix the die- sel vehicles at no cost to customers.
“In this way, Daimler is making a significant contribution to the reduction of nitrogen-oxide emissions from diesel vehicles in European inner cities,” the company said in a statement.
Daimler U.S. representatives did not immediately respond to a request seeking comment.
Asked whether the U.S. Environmental Protection Agency is investigating Daimler, the agency released a statement:
“EPA is continuing to evaluate light-duty diesel vehicles from a number of manufacturers” but “will not comment on the status of our testing and administrative decisions regarding any specific manufacturer” or any potential investigation.