US Ends Stellantis Probe, No Recall for 7.4M Cars

Probe Conclusion on Stellantis Vehicles

The U.S. National Highway Traffic Safety Administration, NHTSA, has officially closed its long-running investigation into nearly 7.4 million vehicles from Stellantis. The probe, which addressed inadvertent deployments of active headrests, concluded without the agency seeking a mandatory recall.

Overview of the Investigation

The investigation first opened in 2019 and covered various models from the 2010 through 2020 model years. According to NHTSA, while it received 750 injury reports, it was unable to confirm any serious injuries where pre-existing medical conditions did not exist. This assessment was a critical factor in the final decision.

Market and Company Impact

For Stellantis, this resolution avoids the significant financial and logistical burden of a large-scale recall. Instead, the automaker has agreed to offer a 10-year extended warranty for the component. This outcome removes a key regulatory uncertainty for the company and is likely to be viewed positively by the market.

Final Resolution and Outlook

The extended warranty offers a resolution for affected vehicle owners without the complexities of a full recall. The focus now shifts to Stellantis's implementation of this warranty program. The decision underscores the high threshold of confirmed safety risks required for a formal recall action.

FAQ

Q: Why was a recall not issued for the 7.4 million Stellantis vehicles?
A: The NHTSA did not pursue a recall because its investigation could not confirm any serious injuries directly and solely caused by the headrest deployment, independent of pre-existing medical conditions.

Q: What is Stellantis offering owners instead of a recall?
A: Stellantis will provide a 10-year extended warranty covering the active headrests for the affected models from the 2010 to 2020 model years.

Source: Reuters via Investing.com