A law passed in 2006 required all car manufacturers to replace the air conditioning gas in new cars with a chemical that causes less global warming.

As previously reported by International Fleet World, Daimler has continued to refuse to use the new refrigerant favoured by most carmakers for its air con systems due to concerns that it poses a fire hazard. This is despite an EU directive being in place to ban the current refrigerant used in most air con systems by 2017.

Now, British Liberal Democrat MEP Chris Davies has obtained evidence that shows that the EU could be getting ready to take legal action against Germany.

Mr Davies asked the Commission to confirm whether Germany would be allowed to protect Daimler and has been told that the German government could now end up in court over the row.

Davies said: ‘A number of Mercedes cars are now being sold that don’t comply with EU law and if the Commission takes action we don’t know what will end up happening to them.

‘EU environment laws only work if they are fair to everyone and by letting Daimler off, Germany is being unfair to manufacturers from France to Spain to the Czech Republic.

‘Given the number of cars and car parts manufactured in my own North West England constituency I’m glad the Commission are taking a tough line.

‘We can’t build a stronger economy if some countries won’t play by the rules.

‘A fine for Daimler won’t be enough – there needs to be a recall of all the illegal cars.