News Digest / Latest Stock Market News / BMW to recall 1.36 million cars in China due to airbag risks

BMW to recall 1.36 million cars in China due to airbag risks

Alex Vellor
05:08am, Friday, Aug 16, 2024
Photo by Myron Mott on Unsplash.com

German automaker BMW (GER:BMW) has announced a recall affecting 1.36 million vehicles in China, as flagged by the country's regulatory authorities. This decision arises over concerns related to the Takata airbag, a subject that many would agree has earned its spot in the hall of infamous automotive recalls.

According to the China State Administration for Market Regulation, this recall will involve both locally manufactured and imported BMW vehicles produced between 2003 and 2017. Specifically, the joint venture BMW Brilliance Automotive is set to recall approximately 598,496 units produced in China, while 759,448 imported vehicles are under the purview of BMW China Automobile Trading.

The airbag issue doesn’t stop at China’s borders. Just a few months ago, the German car manufacturer also recalled 394,000 vehicles in the United States due to the same airbag issues.

While BMW has yet to provide a comment regarding this extensive recall, ensuring consumer safety is one of those rare occasions where the automotive market unites around a principle rather than competition — a slight twist in a sector often defined by rivalry. With regulatory scrutiny increasing, investors will need to watch closely how BMW navigates this turbulent terrain and whether its stock rebounds from the immediate effects of this announcement.

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