Germany discovers ?illegal? devices that may be in 1M Mercedes diesels

Mercedes diesel car

Mercedes diesel car

The authority said it suspected the emissions control devices were being used in the bulk of Daimler's new Euro 6 diesel vehicle fleet, insisting that the devices were in breach of current regulations.

German authorities have also discovered special programming in Daimler cars that they have classified as "inadmissible". For Mercedes-Benz, that means its cars switched off the emissions controls below nine degrees and above 26 degrees to guarantee its systems would survive over the vehicle's lifespan.

Afterwards he said the ministry had ordered the "immediate" recall of Daimler models in Germany because they contained "illegal shutdown devices".

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 USA regulations.

The announcement came a day after Germany's Bild am Sonntag newspaper reported that the national road vehicle authority KBA had found five illegal switch-off devices in Daimler diesels. The affected vehicle models are only sold in Europe and include the Mercedes-Benz Vito commercial van, C220d sedan, and GLC220d crossover SUV. It's unclear exactly which models are being recalled, but the Vito 119 CDI, C 220 d and GLC 220 d have been identified, according to Autocar.

Mercedes GLC
MERCEDESMercedes GLC C Class and Vito cars found to be with emissions defeat devices

A Daimler spokesman said he would not comment on the BamS story, adding, "We are cooperating to a full extent and transparently with the KBA and the federal transport ministry".

Daimler Chief Executive Dieter Zetsche said on Monday that the carmaker had found a technical solution for updating the software on its vehicles, and he therefore expected the company would avoid a fine.

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.

Evercore estimates the recall will cost Daimler less than €100 million ($155.33m), helped by the fact no fines are now being imposed. "Overall, this outcome should de-risk the stock".

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