Ford Motor Company nyse F Shares Slide After Safety Recall Hits F 150 Pickup Trucks

Ford Motor Company (NYSE: F) Shares Slide After Safety Recall Hits F-150 Pickup Trucks

Ford Motor Company (NYSE: F) shares declined nearly 4% on Wednesday following the initiation of a recall by the US automaker for 112,965 F-150 pickup trucks. The recall is prompted by a rear axle hub bolt issue, which, if damaged, could pose a risk of roll-away.

According to the National Highway Traffic Safety Administration (NHTSA), the recall impacts F-150 vehicles from model years 2021 through 2023, specifically those equipped with the Trailer Tow Max Duty package.

The agency’s alert highlighted that the rear axle hub bolt could experience “fatigue and break, which can result in damage to the axle hub splines.” This damage may result in a vehicle rolling away when parked without the parking brake applied or cause a loss of driving power.

NHTSA stated,

“These issues can increase the risk of a crash.”

A solution is currently under development, and the agency recommends that F-150 owners visit a dealership for an interim repair if they detect a clicking or rattling noise associated with the rear axle bolt.

Letters notifying F-150 owners of the recall are scheduled to be mailed by the end of January. Moreover, affected vehicle owners can contact Ford customer service at 1-866-436-7332. The recall is identified by Ford’s recall number 23S65.

Last year, Ford Motor Company (NYSE: F) recalled over 870,000 of its full-sized F-150 trucks due to a potential issue with the electronic parking brake. The concern was that the brake could activate unexpectedly, even while the vehicle was in motion, posing a risk of loss of control and potential accidents.

A spokesperson from Ford (F) informed the media that the company is actively working on a remedy for the current rear axle hub bolt issue, and details of the fix will be communicated to dealers and customers soon.