Ford to Recall 255,404 Vehicles as Plastics Costs Surge Over 40%
F•Ford will recall 255,404 U.S. vehicles due to a faulty canister purge valve that may cause engines to stall unexpectedly. The automaker also faces a surge in plastics input costs, with some polyethylene rising over 40% this year, potentially increasing vehicle production expenses.
1. Vehicle Recall Details
Ford is initiating a recall of 255,404 U.S. vehicles equipped with canister purge valves that may malfunction and cause the engine to stall unexpectedly. Owners will receive notifications and Ford will cover the cost of valve assembly replacements and associated repairs.
2. Rising Plastics Input Costs
Wholesale prices for plastic resins have climbed 14% to near four-year highs, driven by supply constraints and petrochemical feedstock shortages. Polyethylene inputs used in automotive parts have surged over 40% this year, squeezing suppliers that provide molded components for Ford’s vehicles.
3. Production Cost Outlook
The combined impact of recall repair expenses and elevated raw material costs is likely to tighten Ford’s production margins in the second half of the year. The company may need to explore price adjustments or cost-cutting measures to offset the financial strain from higher plastics prices.
