Ford’s Still Losing So Much Money to Recalls in 2023
Ford is set to spend $270 million fixing rear-view camera problems that have plagued several models, adding to their quality woes.
Another recall has come from Ford on top of an already difficult run with quality across several models in its lineup. This time, Ford will have to pony up $270 million to fix faulty rearview cameras across several of its SUVs and vans, adding another healthy loss to its balance sheet of 42 recalls affecting 4.2 million vehicles in one year.
According to Automotive News, a document filed with the U.S. Securities and Exchange Commission (SEC) outlines how Ford will spend $270 million fixing rearview cameras on 2020-2023 Ford Explorer, 2020-2023 Lincoln Aviator, 2020-2022 Lincoln Corsair, 2022-2023 Ford Transit, 2018-2021 Lincoln Navigator, and 2019 Ford Bronco models. More than 422,000 Explorer, Aviator, and Corsairs were affected, with the recall originally starting in May to fix blue or black screens when vehicles were in reverse or using the 360-degree camera system.
After a stop-ship in April, Ford determined that the defect was in the hardware of the rearview camera systems. In the SEC filing, Ford announced a field service action where folks can get their affected vehicles fixed at local dealerships. At the same time, Ford expanded the recall to the Transit, Navigator, and Bronco, adding another 169,000 cars to the recall tally.
Ford also stated in the SEC filing that 3,486 warranty reports were filed about rearview camera issues between April 24, 2018 and August 3, 2020 with two allegations of minor crashes because of the loss of rear visibility. Ford says it was not aware of any injuries related to the issue or the crashes. It’s worth noting that earlier in 2018, rearview cameras were mandated as standard equipment on all vehicles.
Magna Electronics supplied the rearview cameras for Ford. It’s unclear if they will also provide the replacement cameras, software, and wiring. Nonetheless, owners of affected cars will start being notified by October 2.
Got a tip? Email tips@thedrive.com
