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Ford Motor Co (F) issued 150 recalls this year compared to rival EV giant Tesla Inc’s 11 recalls, according to data from U.S. regulator National Highway Traffic Safety Administration.
Ford issued the most number of recalls in the U.S. this year, seconded by Stellantis who issued 53 recalls. Rival General Motors issued 27 recalls in the meantime.
The Dearborn-based automaker issued recalls this year to fix concerns over its electrical system, back over prevention, powertrain, exterior lighting, suspension and more. The company most recently recalled over 45,000 of its Mustang Mach-E electric vehicles over concerns that the Light Driver Control Module B (LDCMB) may fail, preventing the turn signals, daytime running lights, low beam, and high beam headlights from illuminating.
In October, it recalled nearly 1.5 million vehicles including certain Flex, Explorer, Lincoln MKT, Lincoln MKZ, C-Max, Escape, Taurus, Fusion, Fiesta, and Mustang vehicles, citing concerns that the rearview camera may display a a distorted, intermittent, or blank image when the vehicle is in reverse. Dealers will inspect and replace the camera as necessary to fix the issue, the company then said.
In comparison, Tesla issued 11 recalls in the U.S. this year, a vast majority of which were fixed via over-the-air software updates.
During Ford’s second quarter earnings in July, chief operating officer Kumar Galhotra admitted that the company is “not satisfied with the current level of recalls or the number of vehicles impacted.”
In a more recent earnings call in October, Galhotra said that the company has radically improved launch quality over the past two years in a bid to reduce recalls and is conducting rigorous engineering reviews to find and fix issues.
“It takes time for these improvements to improve our recall numbers, as older models have to work their way out of the system. We're already seeing our recall costs shift towards more aged vehicles. Since the peak recall period is in years three to five, we expect a meaningful improvement soon,” he said.
Besides committing to reduce recalls, Ford earlier this month decided to pull back on electric vehicles and said that it expects to incur $19.5 billion in EV-related charges as it kills several EV models to stem losses from the segment. The automaker reiterated focus on higher-return hybrid and gas vehicles, including commercial vehicles.
“Ford no longer plans to produce select larger electric vehicles where the business case has eroded due to lower-than-expected demand, high costs and regulatory changes,” the company said.
The company also announced a new battery energy storage business to feed the growing demand for energy from data centers and boost revenue from its existing and underutilized EV battery capacity.
On Stocktwits, retail sentiment around Ford fell from ‘extremely bullish’ to ‘neutral’ territory over the past 24 hours, while message volume fell from ‘high’ to ‘normal’ levels.
F stock has gained 34% this year and over the past 12 months.
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