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In this paper, closed-loop controller design involving brake, tire, road and actuator modeling complexities is considered. The closed-loop is separated in two parts; the inner loop is based on optimum braking algorithm by acting on individually actuated Antilock Brake Systems and the outer loop constitutes an optimal state feedback active steering design as an additional feedback loop to guarantee stability of the vehicle dynamics in the lateral direction. The main goal is to guarantee headway stability and steering ability of the vehicle model during short-term emergency situations by improving utilization of the friction potential between the tire patches and the road using the advantages of the additional steering closed- loop design. Simulation results are used to illustrate the effectiveness of the considered approach.