BARCELONA -- Europe's largest supplier may pay more to manufacturers than it is obligated to pay because quality problems with high-pressure pumps for common-rail diesels hurt the automakers' image with consumers, Bosch Chairman Franz Fehrenbach said Thursday at the Automotive News Europe Congress in Barcelona, Spain.
Bosch is still negotiating a settlement with the carmakers involved "based on agreed upon terms and conditions," said Fehrenbach. Then he added: "But I guess because it also had to do with image problems, there will be something on top of it."
He declined to disclose the amount.
Fehrenbach also said he is unhappy that automakers disclose the names of suppliers whose parts cause problems. "We develop parts together, and we need to deal with the problems together," he said. "If we don't stop the finger-pointing, it will be a disadvantage to all of us."
Bosch halted production of the high-pressure pumps after it discovered excessive wear on a coating during endurance testing. The production stop forced Mercedes-Benz and BMW to halt production of some models for several days in February. Fehrenbach said the problem was "highly annoying," adding that quality remains Bosch's highest priority.
He praised his company for proactively dealing with all quality issues. "There are sirens wailing and immediate action when we discover a problem," he said.