The transport ministry of South Korea recently stated that it registered a complaint in opposition to German luxury car manufacturer—BMW—with investigators for allegedly postponing recalls and obscuring imperfections that induced numerous engine fires this year in the country. The ministry also penalized BMW for $9.96 Million that the carmaker won in “delaying recalls.” A defective exhaust treatment method in BMW diesel cars led to 52 vehicle fires in South Korea during November-end, persuading the company to issue an apology and recall 172,080 models.
During an investigation, the administration stated that a defective design in BMW’s EGR (exhaust gas recirculation) division ignited the fires, adding up to whether it would decide to order more recalls or not. On the other hand, BMW has denied design imperfections and reported that it recalled models in an appropriate way. BMW’s Korean division in a statement said, “We commenced on recall evaluation without any uncertainty at the time when the incitement of fires was verified.” BMW asserted that the company first recognized the defective EGR system inducing fires in July this year, but the administration said BMW was awake of the issue from 2015 when it formed a task force to deal with the issue. According to the transport ministry, BMW tried to conceal the issue and then took much time to dismiss the 172,000 affected vehicles.
Recently, BMW along with its rival—Daimler—planned to go forward with joint mobility service business enterprise. Reportedly, BMW and Daimler are ferocious rivals regarding selling cars, but these two carmakers are joining hands on the many services that presently offer substitutes to car ownership. Earlier, the plan regarding the same was announced for a joint mobility service project in March and presently the plan has received regulatory approval in all significant markets.