Final yr was a difficult one for car high quality management.
Greater than 30 million autos within the U.S. had been recalled in 2025 because of practically 1,000 separate car and tools points that posed security dangers, in line with AutoInsurance.com, virtually double the simply greater than 16 million that had been bought final yr.
That lack of high quality management has seeped into the early a part of 2026, as over 23,000 autos had been recalled in simply the primary two weeks of the yr.
Ford was the largest offender final yr, issuing practically 140 recollects and simply breaking GM’s 2014 report of 78. Ford accounted for 35% of U.S. auto recollects the earlier yr, in line with the Nationwide Freeway Visitors Administration.
Stellantis, in second place for variety of recollects, accounted for under 12%.
In the meantime, Swedish-made, Chinese language-owned Volvo is issuing its second main recall of the yr after revealing it wants to repair greater than 400,000 autos with probably defective rearview cameras that might not activate when the automotive was in reverse.
Whereas the recall was for a comparatively benign concern, which Volvo mentioned affected 100% of the autos it recalled, this week’s recall includes a way more severe concern that may very well be lethal for drivers.
Volvo has issued its second main recall of 2026.
Picture by John Keeble on Getty Photos
Volvo points recall for EV SUV battery hearth threat
The EX30, Volvo’s EV mothership, has a probably harmful defect that would trigger its battery packs to overheat and catch hearth.
Volvo constantly ranks among the many international leaders in car security, and it takes its security status significantly. So Reuters needed to dig for this beforehand unreported recall.
Associated: Honda pressured into one other recall over probably harmful concern
Volvo mentioned it’s now “contacting the owners of all affected cars to advise them of the next steps” and that it’s going to change affected battery modules freed from cost. Within the meantime, Volvo urges homeowners to restrict charging to 70% to remove the hearth threat.
Volvo has been giving this recommendation to homeowners within the U.S., Australia, Brazil and a dozen different nations, in line with the corporate’s regulatory filings, and it’s also advising EX30 homeowners to park a distance away from buildings.
Past the reputational hurt sure to consequence from this recall, Volvo might pay as much as $195 million, excluding logistics and restore prices, to repair the problem, in line with Reuters.
Two affected EX30 homeowners who talked to the information service mentioned they needed to return their autos. A British man mentioned he purchased the Volvo due to its security status, however the firm is “producing a car that is dangerous.”
One other man from New Zealand reported that he’s dealing with a lot larger prices as a result of the charging cap lower into the automotive’s vary, forcing him to replenish extra typically.
Volvo lower 3,000 jobs final yr
Tariffs from 2025 have taken a major toll on automakers, particularly overseas ones.
Final yr, Volvo, which imports most of its U.S. autos from Europe and China, mentioned prospects must pay a big share of tariff-related prices. It added that threats of a 50% tariff would make it not possible to promote the Belgium-made EX30 EV within the U.S., in line with Reuters.
Volvo additionally scrapped its steering amid tariff prices. Nonetheless, its most vital transfer final yr was sharing plans to lay off 3,000 white-collar employees, representing about 15% of its complete office-based international workforce, to chop SEK 18 billion (about $1.88 billion) in prices.
The layoffs included about 1,000 advisor positions and round 1,200 office-based positions, primarily in Sweden, with the rest in different nations.
“The actions announced today have been difficult decisions, but they are important steps as we build a stronger and even more resilient Volvo Cars,” said CEO Håkan Samuelsson.
“The automotive industry is in the middle of a challenging period. To address this, we must improve our cash flow generation and structurally lower our costs. At the same time, we will continue to ensure the development of the talent we need for our ambitious future.”
