Volkswagen and Porsche are recalling about 227,000 models built in 2015 and 2016 after German safety authority found a problem with pretensioning software in airbags.
There are concerns the faulty software may cause airbags to go-off without an accident being sensed, said German media.
Germany is allocating $60Billion to boost electric car take up.
Volkswagen CEO Herbert Diess welcomed a German government climate package that aims to reduce CO2 emissions with measures such as higher incentives for electric cars and the plan will increase incentives for EVs costing less than 40,000 euros starting in 2023 while conventional cars will become costlier to operate, with higher taxes for more polluting vehicles. Gasoline and diesel prices will rise.
French car workers have expressed concerns over future jobs in the move to electric vehicles which require fewer assembly workers.
The new technology drive to trim costs is of concern to unions as they begin wage talks with Renault and PSA.
The Cenex light commercial and connected mobility show welcomed a record number of just over 4,700 delegates to Millbrook earlier this month.
This was a 9% increase on 2018 numbers, which were themselves a record.