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Ford to replace rear cameras in new recall, take $270 million charge

2023-09-01 23:47
By David Shepardson WASHINGTON (Reuters) -Ford Motor said on Friday it will recall 169,000 U.S. vehicles to replace rearview cameras
Ford to replace rear cameras in new recall, take $270 million charge

By David Shepardson

WASHINGTON (Reuters) -Ford Motor said on Friday it will recall 169,000 U.S. vehicles to replace rearview cameras and update software and is taking a $270 million charge to address the callback.

It was the latest in a series of recalls for rear camera-related recalls by the No. 2 U.S. automaker in recent years.

The Detroit automaker in May issued a recall of 422,000 vehicles in the United States because the rearview camera display might fail following an earlier camera recall in January of 462,000 vehicles worldwide. Many vehicles have been in multiple recalls for the same issue.

The National Highway Traffic Safety Administration said loss of the rearview camera image could reduce the driver's rear visibility, increasing the risk of a crash.

Ford said on Friday it would replace the rearview camera and update software in some 2020-2023 Explorer and Aviator vehicles, 2020-2022 Corsair vehicles, 2022-2023 Transit vans, 2018-2021 Navigator vehicles and 2021 Bronco vehicles.

Ford said in a filing with the Securities and Exchange Commission that the aggregate cost of replacing the cameras and updating the software was estimated to be about $270 million.

Ford said in the latest recall it has 3,486 warranty reports alleging rear camera failures and reports of two minor crashes but no injuries.

Since 2021, NHTSA has been investigating if Ford delayed a 2020 recall of 620,000 vehicles for a rear camera issue and if it recalled enough vehicles.

(Reporting by David Shepardson in Washington Nathan Gomes in Bengaluru; Editing by Shilpi Majumdar and Howard Goller)