Ford Sees $570 Million Cost From Recall Fix
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What Galhotra conveniently left out is that at the end of 2024, the NHTSA was so concerned with how Ford handled a recall that it hit the automaker with the second biggest fine its ever issued. It also ordered Ford to audit all its past recalls, and Ford discovered that much of the software it had promised to update had never been installed.
A recall is underway for over 850,000 Ford and Lincoln vehicles that could have an issue with their low-pressure fuel pump that could cause engine stalls.
What implications does this carry for Ford and investors? The consequences are serious. Quality issues could damage consumer trust and increase warranty and recall costs. Ford stock remains down approximately 15% over the past 12 months,
Ford Motor Company is recalling more than 850,000 vehicles across the United States due to a defect in the low-pressure fuel pump
The automaker says its quality is improving, and the company expects its number of recalled vehicles to drop over time.