Ford Motor Company must pay. The National Highway Traffic Safety Administration (NHTSA) has imposed a $165 million civil penalty on the automaker for failing to recall vehicles with defective rearview cameras in accordance with federal recall requirements. While this figure makes headlines – the second largest ever, behind Takata’s $200 million fine – it’s the other provisions that could cause the automaker even more headaches down the road.
NHTSA is requiring Ford to review recalls from the past three years “to ensure they were conducted appropriately and, if necessary, to issue new recalls,” something that has made one of the most recalled brands in the industry probably don’t want to in recent years. to belong. 2023 and 2022 saw the most recalls (56 and 68 respectively) for millions of vehicles, driving up recall and warranty costs.
The order comes after the agency investigated the automaker for failing to promptly recall the affected vehicles and provide accurate and complete recall information. The investigation opened in August 2021. Ford will have to pay $65 million up front, with $55 million of the fine deferred. NHTSA will allow Ford to use the remaining $45 million for its performance obligations.
“We appreciate the opportunity to resolve this matter with NHTSA and remain committed to continually improving safety and compliance at Ford,” the automaker said in a statement. Automotive News.
Ford will also have to meet with NHTSA quarterly during the three-year consent order, which the agency can extend by a quarter. The Blue Oval will need to invest in a system that tracks specific vehicle parts at VIN level. It must also change its recall decision-making process, update its compliance policies and procedures, and accelerate its recall decisions.