Mercedes-Benz Fined $8.5M By Australia For Airbag Recall

According to ACCC, The Federal Cout of Australia has fined Mercedes-Benz Groups’ local unit to pay AUS$12.5 million ($8.5 million). The German giant is fined due to its lack of urgency to communicate to customers about recalling failed airbags. The Australian Competition & Consumer Commission (ACCC) stated the German carmaker admitted to breaking Australia’s consumer law. They failed to communicate with their customers about the recall required by the Takata Recall Notice. The Highway traffic safety body of Australia issued the recall notice.


The ACCC Deputy chairman Delia Rickard said, “We believe the statements made by Mercedes-Benz staff had the potential to give the impression to consumers that the airbag replacement was less urgent than was warranted by the real risks posed by the faulty airbags.” According to ACCC, after talks with over 27 consumers, Mercedes-Benz staff described the recall as a “precaution”. And implied that the type of airbags used in their vehicles had not caused any accidents, injuries, or accidents when that was not accurate.

The regulator calls the airbags “a potentially deadly issue”. The airbags in the Mercedes-Benz cars are manufactured by the Japanese automotive parts maker Takata Corp. “It was vital for the safety of drivers and passengers that manufacturers took the risks seriously. They should have clearly communicated about the risks with the consumers.”

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