Jul. 3 at 3:47 PM
The automaker this week added to its 2026 recall total by recalling 741,195 SUVs and F-150 pickup trucks that varied in age from the 2018 to 2021 model years.
Investors have been closely watching the issues, saying unneeded warranty costs are a risk to the company’s guidance and future business plans. Warranty costs are the expenses an automaker incurs to cover repairs, replacements and other costs for defective parts or workmanship under a certain period of time or miles driven after customers purchase a new vehicle.
Ford said it reduced warranty and materials costs by
$1.5 billion in 2025, when adjusted for volume and mix, and is targeting an additional reduction in warranty and material costs in 2026. This follows the company’s warranty costs reaching a high of
$4.8 billion in 2023.
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