Daimler Has Set Aside Millions for Airbag Recalls
Following the Takata airbag recall, Daimler has set aside millions for the incoming recalls which they will soon have to face. The Takata recalls have affected tens of millions of vehicles worldwide whilst also injuring hundreds and causing many fatalities too.
So the Takata airbag recall is a global problem. But for Daimler in the United States and Canada, they have set already set aside around €500 million to prepare themselves for the amount of vehicles that they may have to repair.
It has been estimated that there are 33.8 million vehicles with the faulty airbags across the United States and Canada but of course, they are not all Mercedes or Daimler badged. A Daimler spokesperson has stated that there are an approximate 840,000 which need recalling and the German company plan to repair 200,000 by 2019. This project is huge, and Daimler realise that the fix will not occur overnight. For this very reason, Daimler has prepared the huge sum for the mass recall.
The Takata airbag recall is one of the biggest of all time. It affects millions of vehicles worldwide from 14 different automotive manufacturers. The airbag recall by Daimler is, as stated by the German based company, a purely precautionary action.
Daimler may be using some money, or at least transferring it across from their truck manufacturing branch. Due to poor sales in that sector, Daimler are cutting funding from it and hence, they may use that money for the huge recall which is about to start soon. So we won’t see their finances affected too heavily.
There will be many more recalls from all of the motoring manufacturers worldwide; there isn’t a doubt about it. It will take years to complete the huge recall project but, at least they have started to fix the problem and have prepared well for it.