Ford will be losing money after the National Highway Traffic Safety Administration rejected its appeal in the airbag recall order. The NHTSA has been asked to recall three million vehicles earlier this month for the defective airbags after it was proven that the Takata airbags installed in many car units pose a great risk to drivers.
NHTSA dismissed Ford’s appeal
The traffic safety administration directed Ford to recall six of its vehicle models that were made from 2006 to 2012. In the formal response and order issued by the NHTSA, it cited “potential future rupture risk of the airbags” as the reason why it upheld its request for Ford to call back the affected models.
Moreover, the federal government agency on transportation stated that Ford’s appeal “suffers from far too many shortcomings, both when the evidence is assessed individually and in its totality.” This is why it is rejecting the petition of the American multinational automaker.
"Given the severity of the consequence of propellant degradation in these airbag inflators - the rupture of the inflator and metal shrapnel sprayed at vehicle occupants - a finding on inconsequentiality to safety demands extraordinarily robust and persuasive evidence," part of NHTSA’s statements reads.
The agency is giving Ford just 30 days to issue a notice and inform the vehicle owners that their cars are being recalled.
What set off the recall and how much Ford will lose
The issue with the airbags that were supplied by Takata to Ford was first detected a few years ago. Then in 2016, a 17-year-old student was killed while driving her car, and investigation revealed that she died due to the Takata airbag in her Honda car.
The airbag inflators were activated after being triggered by too much force. It then exploded and tore apart a metal canister. Shards of metal and plastic were found stuck on the girl’s neck, and this killed her. The explosion of the Takata airbag was said to have happened because ammonium nitrate is one of the components.
Fatalities involving the Takata airbags worldwide have now risen to 27, and about 400 injuries were recorded. Now, since this is the same airbag that was installed in Ford’s Ranger, Edge, Fusion, Lincoln MKX, Lincoln Zephyr/MKZ, and Mercury Milan models that were built between 2006 and 2012, the automaker was ordered to recall and replace their airbags. Finally, with the replacements of millions of car units, Ford is expected to spend around $610 million, as per WRDB News.


GE Vernova and Hitachi's $40 Billion SMR Investment Signals a New Era for U.S. Nuclear Energy
Goldman Sachs Raises Oil Price Forecasts Amid Strait of Hormuz Disruptions
OpenAI's Desktop Superapp: Unifying ChatGPT, Codex, and Browser Tools for Enterprise AI
Sonova Shares Slip as Hearing Aid Giant Lowers Growth Outlook and Plans Sennheiser Exit
Elliott Investment Management Takes Multibillion-Dollar Stake in Synopsys
Goldman Sachs Delays Bank of England Rate Cut Forecast Amid Middle East Inflation Risks
Amazon's "Transformer" Phone: Can It Succeed Where Fire Phone Failed?
Xiaomi Shares Drop After SU7 Launch as Margin Concerns Weigh on Investors
Netflix Eyes South Korea for More Live Events as BTS Concert Livestream Approaches
J.P. Morgan Now Expects Two ECB Rate Hikes Amid Inflation Pressures
NVIDIA's Feynman AI Chip May Face Redesign Amid TSMC Capacity Crunch
Volkswagen CEO Urges Germany to Adopt China's Industrial Discipline Amid Major Restructuring
Berkshire Hathaway and Tokio Marine Form Major Strategic Insurance Partnership
SLMG Beverages Eyes Price Hikes Amid Rising Packaging Costs and India's Booming Soft Drink Market
Air Canada Express Plane Collides with Ground Vehicle at LaGuardia Airport
United Airlines Cuts Flights 5% Amid Soaring Fuel Costs From Iran War
Tesla Eyes $2.9 Billion in Chinese Solar Equipment to Power 100 GW U.S. Manufacturing Push 



