Prosecutors in Germany have fined Daimler AG €870 million ($958 million) for rigging Mercedes-Benz vehicles to evade European emission limits.
German vehicle authority KBA says the “negligent violation” fine relates to 684,000 Mercedes-Benz cars, vans and SUVs with excessive nitrogen oxide emissions. The violations date back to 2008.
In the last two years, Daimler has been ordered to update or replace illegal emission control software in nearly 3.8 million diesel-powered vehicles in Europe.
Daimler continues to deny any cheating, but it won’t appeal the fine. The carmaker says the penalty won’t significantly impact third-quarter earnings.
Daimler’s fine follows similar rulings this summer against Volkswagen AG’s Porsche unit and Bosch GmbH. Porsche was fined €535 million ($599 million). Bosch must pay €90 million ($101 million) for its role in developing software used to cheat the emissions tests.
It’s the fifth generation of a vehicle that has been increasing in sales year after year since its introduction in 1997.
Dan Nicholson is vice president of General Motors Global Propulsion Systems, the organization that had been “GM Powertrain” for 24 years.
Ford has made an accomplishment that will never be bested, never even be tied.