Ford Motor Company

Ford Recalls More Than One Million Explorer SUVs Over Suspension Issue With Fix Costing $180 Million

12:16 PM, Jun 12, 2019 — Ford Motor Company (F) issued four safety recalls on Wednesday, including a notice for about 1.2 million of its Explorer SUV because of a suspension issue that will cost the carmaker an estimated $180 million to fix.

The Dearborn, Mich.-based company said it was recalling 2011 to 2017 Explorers because vehicles that have frequent “full rear suspension articulation” may have lead to a fractured rear suspension toe link, which can raise the risk of crash because it cuts steering control.

“One customer reported hitting a curb when the toe link broke,” the company said. “Ford is not aware of any reports of injury related to this condition in markets included in this action.”

The recall affects 1.2 million US vehicles, 28,000 in Canada and one in Mexico. They were built at Ford’s Chicago Assembly Plant between May 2010 and January 2017. The $180 million cost of the field service action to correct the issue will be incurred by Ford’s North America business, it said in a separate regulatory filing Wednesday.

“For the full year, we continue to expect company adjusted (earnings before interest and tax) to be higher than in 2018,” the company said.

Ford also said it’s recalling 123,000 North American 2013 F-150 pickups because powertrain control module software that was used to service the vehicles in another recall was incomplete. Trucks without the calibration that was intended to be done in the service could be at risk for unintended downshifting because of output speed sensor failure.

The company also issued a recall for 4,300 model year 2009-16 Ford Econoline vehicles for a loss of motive power issue and it recalled 12,000 Taurus, Flex and Lincoln models also over suspension toe line fracture issues.

In the regulatory filing, Ford also said a US Court of Appeals for the Federal Circuit earlier this month ruled in favor of a Customs and Border Protection decision that the company’s Transit Connects passenger wagons later converted into cargo vans are subject to a 25% duty for cargo vehicles, rather than the 2.5% passenger vehicle charge. Ford said it’s evaluating its options over the ruling and will treat either a refund or a higher rate payment as a special item.

Companies: Ford Motor Company
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