IHS Global Insight
November 14, 2017
Subaru plans to add about 145,000 vehicles to its inspection-related recall in Japan, according to a report by Reuters. The automaker had previously estimated that nearly 255,000 vehicles would be recalled after uncertified workers were found to have carried out final car inspections. The recall is expected to start next week.
Significance: The latest announcement by Subaru widening the scope of the recall is part of a precautionary move. In its previous announcement, Subaru said that it would recall all of its 12 models sold in the past three years, including the 86 sports car manufactured by Subaru for Toyota. The automaker has also submitted to Japanís Ministry of Land, Infrastructure, Transport, and Tourism the results of an in-house investigation into the issue. The recall is expected to result in costs of nearly $88.1 million, with the automaker now projecting lower full-year operating income.
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