CHICAGO – Stout, a global investment bank and advisory firm, has released its 2021 Automotive Defect & Recall Report, providing the latest research into automotive recalls.
Stout's seventh annual report offers the most comprehensive analysis of automotive recall trends, including an enhanced industry analysis of completion rates, observations on defects and risks associated with the latest safety technologies, and insights on risk factors and benchmarking pertaining to supplier cost recovery.
"The year 2020 was a unique one for the automotive industry, with plant closures and global supply chain disruptions as a result of the COVID-19 pandemic that also contributed to the lowest volume of new vehicle sales since 2012," the report states. "Despite all the disruption surrounding the industry, recalls remained close to peak levels."
The report builds on the original research that Stout began in 2013. As in years past, to complete this report, Stout has compiled and analyzed data from a vast array of sources, including the National Highway Traffic Safety Administration (NHTSA), several international databases, financial reports, and other sources.
Top findings from Stout's research include:
- A decline in recall completion percentages, due in part to mobility restrictions and other industry disruptions related to COVID-19
- For the second year in a row, the U.S. saw more than 300 light vehicle recalls in 2020, affecting nearly 28 million vehicles (excluding the Takata recalls)
- A greater proportion of recall campaigns involved fewer than 10,000 vehicles than any year in the past 20 years
- New insights related to electric vehicle battery defects and the industry's only international analysis of vehicle recall trends
- Greater uncertainties for future recalls as complex safety-critical systems are integrated into new vehicle platforms
- New analyses and insights of recalls involving recreational vehicles as well as emissions recalls