Ford is recalling over 570,000 vehicles in Europe and North America to address two issues — the faulty door latch problem and engine fire risk.
The latest recall may negatively impact the carmaker's profit in Q1 2017. In a Wednesday filing with securities regulators, Ford stated that the recall may result in a $295 million cut in pretax earning.
Engine Fire Recall: Affected Vehicles
Over 360,000 Ford vehicles have been recalled in Europe and North America because of engine fire issue.
The vehicle recall list in North America includes 2014's Escape SUVs, compact Fiesta ST from 2014 and 2015, Fusion mid-sized cars from 2013 and 2014, and small van Transit Connect models from 2013 to 2015.
The recall list in Europe includes Focus small cars and C-Max hybrid from 2010 to 2015, as well as Transit Connect vans from 2013 to 2015. All these vehicles have four-cylinder 1.6-liter turbocharged engines.
Ford stated that the engine may have overheated because of improper coolant circulation in the engine, leading to a crack in the car's cylinder head.
"A cracked cylinder head can result in a pressurized oil leak. Oil that comes into contact with a hot engine surface increases the risk of a fire in the engine compartment," noted Ford.
The company reported 29 cases of engine fire in Canada and the United States. However, the hazard has not led to any injuries.
How Is Ford Tackling The Coolant Problem?
Ford spokeswoman Elizabeth Weigandt stated that customers will receive an email from the company, which will contain instructions on checking and refilling the coolant. Dealers will also be checking the coolant levels of the affected vehicles. If a vehicle is spotted with overheated or leaked coolant, it needs to be taken to a dealer.
Weigandt also noted that if parts are available with the dealers, they will equip the vehicle with a coolant sensor. This sensor will alert the owner about low coolant levels in the car. However, the spokeswoman was unaware whether the company will fix these coolant leaks.
Faulty Door Latch Issue
Ford has added roughly 211,000 vehicles to the 2015 safety recall for the four defective door latches. The recall includes the 2014 Fiesta along with the 2013 Lincoln MKZ and 2014 Fusion.
"In the affected vehicles, the pawl spring tab in the side door latch could break. A door latch with a fractured pawl spring tab typically results in a "door will not close" condition. A door that opens while driving increases the risk of injury," revealed the carmaker.
For the past three years, door latches have become a big concern for Ford, which led to an investigation by the National Highway Traffic Safety Administration, followed by the withdrawal of over 3 million vehicles.
In fall 2016, the carmaker recalled over 2.3 million vehicles because of the defective door latch problem. The recalled vehicles included C-Max and Ford Escape from 2013 to 2015, and Ford Focus from 2012 to 2015.
The company reveals that its dealers will change the door latches free of cost, with a sturdier one.