U.S. and California authorities said Daimler AG and its U.S. subsidiary, Mercedes-Benz USA, used undisclosed emissions software in diesel vehicles sold from 2009 to 2016. A 2020 federal settlement, effective in 2021, required recalls and repairs, penalties, pollution mitigation and compliance reforms. In December 2025, 50 attorneys general announced a separate $149.7 million settlement; Mercedes denied liability, and court approval was pending in
The following documents are related to the settlement reached by California Air Resources Board and the California Attorney General with Daimler, AG and Mercedes-Benz USA, for the use of illegal defeat devices in model year 2009-2016 diesel passenger cars and Sprinter delivery vans.
Daimler will take various measures to prevent future violations. Daimler will maintain its recent corporate reorganization, which separates emissions certification and product development activities. Daimler will perform enhanced annual technical training on certification compliance requirements and will also publish its Compliance Operation Plan which will include details about the company’s internal controls around emissions compliance. The company will perform portable emission measurement system (PEMS) testing on its new diesel and gasoline vehicles, and special-cycle testing of select diesel vehicles, to assess whether the vehicles operate similarly on the federal emissions test cycles as compared to off-cycle, typical driving conditions. This testing will be performed prior to certification, which will enable the EPA to take the PEMS results into account in making new-vehicle certification decisions. Lastly, Daimler will conduct internal audits by a dedicated settlement compliance team, observed by an external compliance consultant, to assess the implementation of the consent decree requirements.
The settlement addresses allegations made in separate civil complaints filed by the United States and CARB today in the District of Columbia that, from 2009 to 2016, Daimler manufactured, imported, and sold more than 250,000 diesel Sprinter vans and passenger cars with undisclosed AECDs and defeat devices programmed into the vehicles’ complex emissions control software. These devices cause the vehicles to produce compliant results during emissions testing. But when not running a test, the vehicles’ emissions controls perform differently, and less effectively, resulting in an increase in NOx emissions above compliant levels.
In December, Mercedes-Benz USA and parent company Daimer AG agreed to pay $149.6 million to settle allegations that the automaker secretly installed devices in hundreds of thousands of vehicles to pass emission tests, according to an announcement by a coalition of attorneys general.
(Washington, DC) – The Department of Justice, the Environmental Protection Agency (EPA), and the California Air Resources Board (CARB) have resolved a civil enforcement case against Daimler AG and Mercedes-Benz USA, LLC (collectively, “Daimler”). This settlement, filed on September 14, 2020 and entered by the Court on March 9, 2021 (the “Effective Date” of the agreement), resolves violations of the Clean Air Act and California law based on Daimler’s cheating on emission tests and failing to disclose unlawful defeat devices in approximately 250,000 diesel vehicles sold or leased in the United States. Daimler has agreed to implement a recall program to repair the noncompliant vehicles, offer an extended warranty on repaired vehicles, and pay a civil penalty of $875 million. Daimler also will implement a program to mitigate excess pollution from these vehicles.
Beginning in 2008 and continuing to 2016, the states allege Mercedes manufactured, marketed, advertised, and distributed nationwide more than 211,000 diesel passenger cars and vans equipped with software defeat devices that optimized emission controls during emissions tests, while reducing those controls outside of normal operations. The defeat devices enabled vehicles to far exceed legal limits of nitrogen oxides emissions, a harmful pollutant that causes respiratory illness and contributes to the formation of smog.
The settlement resolves allegations that Daimler violated environmental and civil laws by using defeat device software to circumvent emissions testing. This software enables vehicles’ emissions controls to perform more effectively when being run through EPA and CARB test cycles than in real world driving conditions. Daimler is alleged to have sold about 250,000 passenger cars and vans in the United States with diesel engines that did not comply with state and federal laws and regulations governing vehicle emissions and certifications. Of those, approximately 36,946 non-compliant vehicles were sold in California, emitting excess NOx, a smog-forming pollution that exacerbates asthma and other health problems. As part of the settlement, Daimler will be required to pay civil penalties, fix the vehicles, and mitigate excess NOx emissions. The estimated total cost of the settlement is approximately $1.5 billion.
NEW YORK – New York Attorney General Letitia James and a bipartisan coalition of 50 other attorneys general today announced a nearly $150 million settlement with Mercedes-Benz USA (Mercedes), resolving violations of environmental and consumer protection laws stemming from the company’s use of illegal emissions-cheating software. A multistate investigation led by Attorney General James and eight other attorneys general found that Mercedes equipped hundreds of thousands of diesel vehicles with undisclosed software designed to cheat emissions tests, mislead consumers, and illegally pollute communities nationwide. Under the settlement, Mercedes will pay $149,673,750 to the coalition, including more than $13.5 million to New York to fight air pollution, and provide $2,000 payments to eligible owners and lessees whose vehicles receive the required emissions repairs. The company must also undertake broad corrective actions to prevent future misconduct and comply with strict oversight requirements.
According to the coalition, between 2008 and 2016 the German automaker equipped more than 211,000 diesel passenger cars and vans with software devices that optimized emission controls during tests but reduced the controls during normal operations. The devices enabled vehicles to far exceed legal limits for nitrogen oxides, a pollutant that can cause respiratory illnesses and contributes to smog.
In a Clean Air Act settlement announced in 2006, Mercedes-Benz USA and DaimlerChrysler agreed to pay a $1.2 million civil penalty after failing to timely report eight emissions-related defects in 1998–2006 vehicles. The agreement also required recalls, extended warranties and a reporting protocol estimated to cost about $1 million annually.
Violation: Mercedes-Benz USA, LLC and DaimlerChrysler AG (Mercedes) failed to timely file EDIRs relating to eight emission-related defects in numerous 1998 to 2006 model vehicles.
Violation: Mercedes-Benz USA, LLC and DaimlerChrysler AG (Mercedes) failed to timely file EDIRs relating to eight emission-related defects in numerous 1998 to 2006 model vehicles.
Mercedes-Benz announced a partnership with German startup Tytan Technologies to produce anti-drone vehicles. A company statement said the effort will focus on vehicle-based drone-defense and mission platforms to protect people and critical infrastructure, using G-Class and Sprinter models. The announcement was reported the week before June 17, 2026.
And last week, Mercedes-Benz announced a partnership with German startup Tytan Technologies to produce anti-drone vehicles.
Mercedes workers in Alabama voted 2,642 to 2,045 against joining the UAW in May 2024. The union alleged intimidation and illegal interference; Mercedes said it sought a fair election. In March 2026, Mercedes-Benz Group AG agreed in a National Labor Relations Board settlement to distribute and follow a notice on workers’ organizing rights, including a commitment not to threaten facility closure or relocation.
For months, Mercedes started shifts by showing videos that warned about the failures of unions and the lack of say workers have in how their union dues are spent. Two weeks before the election, the company announced a CEO change in Alabama and urged workers to give the new leadership a chance.
Mercedes-Benz Group AG vowed not to make anti-union threats as part of a deal to resolve a US labor board case over the company’s response to a high-stakes Alabama organizing drive.
In 2024, a Brazilian labour court found Daimler Truck liable for discrimination and ordered 40 million reais in compensation. The ruling described injured workers returning to the Campinas plant as isolated and harassed, and also cited racial-discrimination reports. The decision could be appealed; Mercedes-Benz do Brasil said it did not comment on ongoing cases.
The German vehicle manufacturer Daimler Truck has been convicted in Brazil for discrimination against employees and ordered to pay compensation amounting to 40 million reais...
On Nov. 27, 2025, a Schleswig administrative court overturned the German transport regulator’s recall of some Mercedes diesel models, ruling it should have relied on EU rather than national rules. The procedural ruling spared Mercedes-Benz Group AG a decision on whether it used illegal emissions-cheating software.
Mercedes-Benz Group AG toppled a recall of some of its diesel models at a German court over a procedural issue and was spared a decision over whether it used illegal emission-cheating software.
A May 2025 investigation linked Mercedes-Benz among more than 100 brands to goods from factories allegedly using Uyghur workers transferred under a state-imposed program; Mercedes-Benz’s response is not detailed here. Separately, in 2023 ECCHR accused Mercedes-Benz, BMW and Volkswagen of insufficient supply-chain due diligence on Xinjiang risks. Mercedes-Benz said it was contacting suppliers and pushing for clarification when concerns arose.
Over 100 consumer brands are linked to the factories, including Apple, Volkswagen, LG Electronics, Skechers, KFC Chicken, Samsung, Cal-Comp, BMW, Subway, McDonald’s, Tesla, Crocs, Mercedes-Benz, General Motors, Ford, Chrysler (part of Stellantis), Mazda, Hyundai, Mahle Industrial Thermal Systems, and Midea (which sponsors Manchester City football club).
"We are in contact with our suppliers and whenever concerns are raised, we push suppliers for clarification," Mercedes-Benz added.
On March 27, 2013, Law360 reported that a U.K. antitrust regulator fined Daimler AG subsidiary Mercedes-Benz UK Ltd. and four commercial-vehicle dealers £2.85 million ($4.3 million). The regulator cited market sharing, price coordination and exchanges of commercially sensitive information.
By Stewart Bishop ( March 27, 2013, 3:52 PM EDT) -- A U. K. antitrust regulator on Wednesday slapped Daimler AG's Mercedes-Benz UK Ltd. unit and four of its commercial vehicle dealers with £2. 85 million ($4. 3 million) in fines for market sharing, coordinating prices and exchanging commercially sensitive information. . . .
In October 2026, Mercedes-Benz CEO Ola Källenius, speaking as ACEA president, said excluding the UK from the EU’s proposed “Made in Europe” law would weaken car industries on both sides. He also warned that EU protection measures could raise costs and distort global supply chains, despite improving resilience.
The ACEA is also lobbying for an urgent suspension of plans to introduce 10% tariffs on UK electric vehicles (EVs) imported to the EU, and EU EVs exported to the UK.
Mercedes-Benz Group AG Chief Executive Officer Ola Källenius warned that the European Union’s push to shield its car industry risks driving costs even higher and creating distortions across global supply chains.
A Mercedes employee’s authentication token was inadvertently published in a public GitHub repository in September 2023, the company said, attributing the exposure to human error. Mercedes revoked the token and removed the repository after disclosure. Researchers said it exposed sensitive systems and files; there was no evidence of malicious use, and the company’s investigation continued.
The carmaker's internal source code was inadvertently published on a public GitHub server due to human error, the spokesperson said. An internal investigation is still ongoing, and additional "remedial measures" will be implemented accordingly.
A federal jury awarded Troy Coachman nearly $5 million after he sued Mercedes-Benz of Seattle over his firing following cancer surgery. Court documents and the lawsuit alleged owner Al Monjazeb decided Coachman could no longer do his job and privately cited his prosthetic voice as unappealing to customers. The dealership declined to comment.
The lawsuit and trial documents indicate that Monjazeb repeatedly refused to meet again with Coachman and told his managers not to discuss his employment status with him when he returned to the office in January 2015. According to the trial briefs and documents filed before trial, Monjazeb fired Coachman by email, explaining privately that the man’s “voice box would be unappealing to customers,” according to the 2017 suit.
Federal Election Commission records identify the Mercedes-Benz North America Corporation US Employees PAC as an active committee. OpenSecrets reported that in 2021–22 it gave $3,500 to federal candidates, all to Republicans. FEC data for Jan. 2025–Oct. 2026 show $6,500 in receipts and $7,500 in disbursements, all contributions to other committees.
0.00% to Democrats, 100.00% to Republicans</td> <td>$3,500</td> </tr> <tr> <td>Contributions to this PAC from individual donors of $200 or more (list donors)</td> <td>$2,500</td> </tr> </tbody> </table>
OpenSecrets reported that Mercedes-Benz Group had spent $1.78 million on federal lobbying in 2026 as of June 30, including $220,000 in direct spending and none through subsidiaries. Its profile, updated July 23, 2026, lists filings naming Congress, federal agencies and several bills; the figures are OpenSecrets calculations based on Senate records.
OpenSecrets lists $63,709 in contributions and a ranking of 7,916 out of 40,455, but the supplied evidence does not identify the period or what the ranking measures. It also reports $1.53 million in 2024 and $1.34 million in 2023; the figures’ labels and scope are not provided.
A Mercedes-Benz spokesperson told Newsweek that U.S. dealer representatives asked for a safe place to store handguns during development of the battery-electric GLC, and the company delivered. A product development engineer said the glove box was made lockable, rather than the center console, in response to dealer requests.
During the development of the battery-electric Mercedes-Benz GLC, a company spokesperson told Newsweek U.S. dealer representatives requested that the company provide a safe storage area in the car for handguns. Mercedes-Benz delivered.
Two Mercedes-AMG drivers filed a proposed class action alleging raised metallic seat logos caused burns. Gabriel Lahijani says a 2026 E-Class logo burned his back in May 2026; Karendeep “Karina” Bath alleges a similar shoulder injury about six weeks later. They seek damages and logo removal for other owners. Mercedes could not be reached for comment.
NEW YORK (AP) — Two drivers of Mercedes AMG cars have filed a class action lawsuit against the luxury car company, claiming that the AMG logo on their driver’s seat gets so hot that it literally brands them and causes burns.
A Muslim Mercedes-Benz employee alleged the company denied his request for breaks at specific times to pray. On Monday, the Eleventh Circuit declined to revive his religious-discrimination suit, leaving the company’s win in place; the supplied report does not describe the court’s reasoning.
By Kelcey Caulder ( December 23, 2025, 7:02 PM EST) -- The Eleventh Circuit on Monday declined to revive a discrimination suit brought against Mercedes-Benz by a Muslim employee who alleged he was denied a religious accommodation to take breaks to pray at specific times throughout the workday as required by his faith. . . .
On Feb. 4, 2025, the Sixth Circuit upheld enforcement of a Mercedes-Benz Group AG unit’s severance agreement, blocking former employee Asmaa Jamil from pursuing race- and age-discrimination claims she had released. Jamil argued she did not knowingly waive them; the court said she had time and experience to review the clear agreement.
A Mercedes-Benz Group AG unit’s severance agreement with a former employee blocks the worker from pursuing race and age discrimination claims she released as part of the pact, a federal appeals court said.
In August 2023, Mercedes-Benz USA LLC settled with California’s Air Resources Board over selling a consumer product without a manufacture date and failing to report a modified date code. The company agreed to a $3,000 penalty, relabeled the product and submitted an explanation of the date code; CARB said it cooperated.
An investigation conducted by CARB staff disclosed that Mercedes-Benz sold, supplied, and offered for sale in California, a consumer product that did not meet administrative requirements specified in the Consumer Products Regulation, under California Code of Regulations, title 17, sections 94512(b) and 94512(c)(2).