(RTTNews) – Daimler AG, the Mercedes-Benz manufacturer, said Thursday that it had agreed to pay more than $2.2 billion to resolve U.S. emission claims for its diesel vehicles.
Stuttgart, Germany-based automaker said it had reached a precept agreement with various U.S. governments to resolve civil and environmental claims about the emissions systems of some 250,000 cars and diesel trucks in the United States.
The company also reached an agreement with the plaintiffs’ attorneys to settle the customer’s “In re Mercedes-Benz Emissions Litigation” client action, which is pending in the United States District Court for the District of New Jersey.
Regulations are subject to final approval through the government and the relevant courts.
The German car manufacturer expects a corresponding effect on the flow of loose money from commercial activity over the next 3 years with a primary effect over the next 12 months.
The Board of Directors and the Supervisory Board of Daimler approved the proposed regulation after weighing all facets in the interest of the company.
U.S. regulators have stepped up their investigations into diesel emissions after the 2015 Volkswagen AG cheating scandal. The U.S. Department of Justice asked Daimler to investigate its vehicle certification procedure the following year.
Volkswagen admitted handling up to 11 million diesel engines worldwide, around 600,000 in the United States. Emissions violations have charged the automaker with more than $30 billion.