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Brake fix will slow BMW earnings

Munich admits current remedial action will costs many millions.

ACTION to rectify a brake fault that has not caused any known issue will cost BMW significantly.

Speaking about the recall that affects 11 models in New Zealand - not just BMW badged cars but also Mini models and a Rolls-Royce - the parent in Munich has acknowledged the 

cost of this global action will run into the hundreds of millions of dollars and result in reduced earnings for the year.

BMW imposed a global stop-sale on most of its model lines in many countries due to a fault with the integrated brake system (IBS) supplied by Continental.

An IBS fault can result in drivers having to apply a higher brake pedal force than usual, while anti-lock braking and dynamic stability control systems can also deactivate. It has not had an issues reported.

BMW this week announced more than 1.5 million vehicles were affected by the braking system fault globally, which the carmaker said will “result in additional warranty costs in a high three-digit million (Euros) amount” in its current-quarter finances.

The brand has issued 11 recall notices over an issue regarding the braking software in selected models built between 2022 and 2024. The software is vulnerable to ‘signal interference’ that can lead to drivers having to press their brake pedals harder than usual to stop their cars.

BMW models are the 1 Series, 2 Series 225XE, 5 Series, 7 Series, X1, X2, X5,X6 and X7. The Mini Countryman, Cooper and the upcoming Aceman are also affected. So too the Rolls-Royce Sceptre electric car.

The recall notice says: “Tests have revealed that signal interference may occur in the brake system electronics in very rare cases. 

“We will therefore provide diagnostic software for your vehicle that will generally detect such a malfunction well before it occurs.”

The brand explains: “During the quality control inspection process, BMW Group has identified a potential issue related to signal interference within the electronics of the brake system of certain vehicles.

“If a malfunction occurs that cannot be detected by the early warning diagnostic software, the vehicle will provide a notification before, or while driving, via the brake warning lamps in the instrument cluster and by a corresponding “check control” message on the vehicle information display.

“In this situation, the driver may be required to increase the operating force needed for braking. 

“Other brake control functions such as the Anti-lock Brake System (ABS) and Dynamic Stability Control (DSC) will also not be available and in certain conditions, braking distance may be extended, possibly increasing the risk of an accident or injury.”