Ford's latest manufacturing problem just got bigger

Not all of Ford's woes are related to the ongoing UAW auto strikes.

Oct 2, 2023 - 22:30

0 12

Ford's latest manufacturing problem just got bigger

U.S. auto safety regulators have expanded a year-long probe into potential Ford (F) - Get Free Report engine failures Monday to encompass nearly 709,000 vehicles.

The National Highway Traffic Safety Administration (NHTSA) opened a preliminary investigation into 25,000 Broncos in May of 2022; it has now upgraded the investigation to an "engineering analysis," the step preceding a recall, and has expanded the models under examination.

The issue, which NHTSA said involves a sudden, catastrophic engine failure due to a faulty valve in 2.7-liter and 3.0-liter EcoBoost engines, now impacts the 2021-2022 Ford Bronco, Edge, Explorer, F-150, Lincoln Aviator and Nautilus vehicles.

Ford has since reported a total of 861 consumer complaints, warranty claims and engine replacements, though there have been no incidents or injuries.

Ford told the agency that this valve failure normally occurs early in a vehicle's life and that most of these such failures have likely already occurred. The company introduced a design change to the valve in October 2021, making use of an alloy that is less susceptible to the brittleness that the initial valve experienced after exposure to an over-temperature environment during its machining process.

A Ford spokesperson said that the company is supporting NHTSA with their investigation.

Ford shares fell slightly Monday morning.

This comes as the motor company remains embroiled in the ongoing United Auto Workers rolling strikes; last week, union President Shawn Fain expanded the strikes to include Ford's Chicago assembly plant.

The automakers remain at odds with the union over demands that Ford CEO Jim Farley said Sept. 14 could cause the company to go bankrupt.

Action Alerts PLUS offers expert portfolio guidance to help you make informed investing decisions. Sign up now.

Original Post