The problem with mega suppliers such as Takata is large recalls for safety defects.
Ford Motor is conducting a safety recall for ~935 2017 model Ford F-150 and Mustang vehicles for defective passenger air bag inflators from bankrupt Takata, the supplier that uses the inflators in airbag modules, of “an abnormal deployment” of the passenger airbag inflator during testing conducted at Takata’s engineering facility.
In a terse statement that raises unanswered questions as to why Ford is using a discredited, criminal* supplier responsible for the largest recall in U.S. history, Ford claimed it is not aware of any accidents or injuries associated with this blatant safety defect. Affected vehicles include2017 Ford F-150 built at Kansas City Assembly Plant, July 20, 2017 to Aug. 1, 2017, and 2017 Ford Mustang built at Flat Rock Assembly Plant, July 20, 2017.
There are currently more than 46 million recalled Takata air bag inflators in 29 million vehicles in the United States. A combination of time, environmental moisture and cycling high temperatures contribute to the degradation of the ammonium nitrate propellant in the inflators. Such degradation can cause the propellant to burn too quickly, rupturing the inflator module and sending shrapnel through the air bag and into the vehicle’s cabin.
*Pursuant to the Department of Justice Plea Agreement, Takata paid $25 million as a fine to the DOJ and was required to fund two restitution funds: (1) a fund of $125 million to meet liabilities to current or future personal injury claimants and (2) a fund of $850 million to satisfy a portion of the claims of OEM customers who purchased airbags containing PSAN inflators.
Each of the restitution funds will be administered by a special master in accordance with the DOJ Plea Agreement. The $125 million fund for personal injury claimants was funded on March 29, 2017. Consistent with the DOJ Plea Agreement, the agreements in principle with the Customer Group and the proposed restructuring terms provide for the proceeds of the sale to KSS to be used to fund the $850 million OEM restitution fund.
See AutoInformed:
- NHTSA Hastens Replacements of Deadly Takata Air Bags
- NHTSA Whacks Takata with $70-200 Million Consent Order
- NHTSA Expands Takata Airbag Inflator Recall by 40 Million
Additional Information
- December 2016 Amendment to the Coordinated Remedy Order
- NHTSA Recalls Spotlight: Takata Air Bag Recalls
- Fact Sheet: NHTSA Actions to Accelerate the Takata Remedy
- Fact Sheet: Takata Recall History and Key Terms
- Fact Sheet: May 2016 Takata Recall Expansion
