BMW took over two years to discover the extent of a braking system fault that is expected to cost it almost EUR1bn (US$1.1bn) to fix.

Customers and dealers began complaining to the automaker about faulty brakes in June 2022, according to a recall document seen by Bloomberg News. But only last month BMW realised as many as 1.5m cars might contain the defective part, supplied by Continental and touted as a lighter and more efficient system.

BMW launched an in-depth review into the braking system in October 2023, the recall document showed, which found interference affecting the electric signals sent through the brake system. The first recall of about 80,000 vehicles followed in the US in February this year.

That has since snowballed to encompass 1.5m cars across multiple brands made by BMW including $420,000 Rolls-Royce Spectres, flagship 7-Series sedans and high powered XM sport utility vehicles, Bloomberg said.

A BMW spokeswoman told Bloomberg News it took time to gauge the scale and financial impact of the recall, adding the automaker needed to discuss the matter with officials across multiple markets and assess how much repairs would cost.

The braking system that prompted the recall is known as brake by wire, which uses electronic impulses instead of hydraulic technology. Its components are a cornerstone product for Continental’s auto unit, which is in the process of being spun off, Bloomberg said.

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A “power braking” feature meant to reduce the amount of force needed to activate the brakes failed to fully activate in some vehicles, according to the recall document seen by Bloomberg. Physically weaker drivers might struggle to apply the necessary pressure in emergency situations as a result, increasing the risk of a crash.

Continental reportedly traced the defect back to a plant in Hungary. Workers producing the brakes’ circuit boards there failed to maintain a sufficiently clean environment, leaving smudges or dust on the components that hampered the system’s performance, according to Bloomberg sources.

No accidents or injuries have been reported as a result of the braking fault, the report added.