King & Spalding LLP

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Jacqueline Glassman

Partner

Direct Dial: +1 202 626 9228

Direct Fax: +1 202 626 3737

Mobile: +1 202 251 2575

jglassman@kslaw.com

July 31, 2019

Mr. Jonathan Morrison 

Chief Counsel 

National Highway Traffic Safety Administration 

Room W41-227 

1200 New Jersey Avenue, SE 

Washington, DC 20590 

Re: Docket No. NHTSA-2015-0055 – Mercedes-Benz USA Request for Partial

Extension of Priority Group 6 Sufficient Supply and Remedy Launch Deadline

Dear Mr. Morrison:

Daimler AG (“DAG”) and Mercedes-Benz USA, LLC (“MBUSA”) (collectively, “MercedesBenz”), pursuant to ¶ 39 of the Third Amended Coordinated Remedy Order to address the Takata 

recalls, request an extension of time in which to comply with the sufficient supply and remedy 

launch deadline for a small volume of Mercedes-Benz vehicles that are part of Priority Group 

(“PG”) 6. 

Beginning with ¶ 33 of the Fifth Amendment to the Takata Coordinated Remedy Order (“Fifth 

ACRO”) and pursuant to Mercedes-Benz’s August 2018 request for extension, the sufficient 

supply and remedy launch deadline for some of MBUSA’s PG 6 vehicles is currently July 31, 

2019. Due to several different factors, a portion of the vehicles currently scheduled to launch are 

subject to an extension request. 

Request for Extension

Mercedes-Benz is requesting this extension as a result of several different culminating factors. As 

an initial matter, there are higher than projected repair rates for the specific airbag module part 

number. This metric indicates that consumers are responding to the recall notifications and are 

bringing their vehicles to receive the remedy. Further, existing production schedules by the airbag 
July 31, 2019 

Page 2 

module supplier in Germany, [ ], have complicated the production 

of parts. Because the supplier has a pre-determined schedule of specific part numbers that it is 

contracted to manufacture on its various production lines, it is not possible to “fill the gap” of 

additional modules needed launch this subset of PG 6.1

 MBUSA has recently become aware that 

because of these various factors, fully launching the campaign for this particular part number 

would quickly result in a backorder situation for dealers and thus, consumers. 

Mercedes-Benz requests a brief extension of the upcoming supply and launch deadline for a subset 

of half of the PG 6 vehicles that are due to launch on July 31, 2019. Mercedes-Benz is prepared 

for, and intends to move forward with the launch of the campaign for the other half of the PG 6 

vehicles in this phase and as scheduled. Mercedes-Benz has closely examined where it may launch 

the campaign for this part number and, to best position the campaign for success, will launch the 

campaign in those non-A states with larger vehicle populations, and those where dealers already 

have some inventory of parts on hand. Doing so will optimize dealers ability to service as many 

customers as possible. 

The circumstances described above will have only a short-term impact on the campaign launch for 

this one specific airbag module part number. Despite the constraints presented, Mercedes-Benz 

has successfully poised itself to be able to launch the recall campaign for half of the PG 6 vehicles 

currently scheduled to launch at the end of July. There are approximately 9,000 total vehicles that 

are a part of this phase of the PG 6 launch. Mercedes-Benz estimates that the extension request 

implicates approximately 4,500 vehicles in total. The remaining 4,500 will launch as planned. 

Make PG Platform Model MY Volume Zone Launch Date 

(customer 

notification)

MercedesBenzPG6 212 E-Class 2010-

2011 

4,500 NonA September 30, 2019 

or earlier

1 The complicated logistics surrounding the inflator shipments have also created some unavoidable delays. Because 

of restrictions on the shipment of hazardous materials, only certain quantities of inflators may be shipped via air

freight. This results in fragmented shipments of particular part numbers bound for the United States using different

air carriers. Once the airbags arrive at the [ ] distribution facility in the United States, the various shipments have

to be organized and consolidated and are sent topicked up by an interim facility before they can be sent delivered to

the MBUSA distribution centers, where they again have to be consolidated for pickup and transfer to dealers. 
July 31, 2019 

Page 3 

Because of a variety of circumstances affecting the availability of replacement modules for this 

particular part number, many of which were due to circumstances created by third-parties and 

outside of its control, Mercedes-Benz requests a brief extension of the July 31, 2019, sufficient 

supply and launch deadline, until latest September 30, 2019,2 to meet the sufficient supply and 

launch deadline for the vehicle platform and volume listed above. 

We appreciate your consideration in this regard and are available to provide additional 

information to the agency if needed. 

Sincerely,

Jacqueline Glassman

Partner

2

If sufficient parts become available sooner, Mercedes-Benz intends to launch the campaign for this vehicle subset

earlier than September 30, 2019.