After the determination of a new defect by Takata, Honda Motor Co., Ltd. HMC announced an expanded recall of vehicles with defective Takata passenger front airbag inflators. This will add around 127,000 inflators in 2003-2004 CR-V vehicles to the recall, which were not part of the previous recall or safety improvement campaign.
Additionally, nearly 78,000 CR-V vehicles of model year 2003-2004, that were part of the previous passenger front airbag inflator recalls or Honda's voluntary safety improvement campaigns, will also be part of the new recall. The expanded recall takes the number of passenger front airbag inflators requiring replacement to 3.4 million.
Honda has stated that it has adequate replacement parts to immediately begin the repair of the newly recalled vehicles. It has also urged vehicle owners affected by the Takata airbag inflator recall to get their vehicles repaired at authorized dealers as soon as possible.
Soon after Honda announced the recall, the National Highway Traffic Safety Administration revealed that an accident near Pittsburgh in July has been linked to the defective Takata airbags. The accident resulted in the eighth casualty in the U.S. and ninth globally due to these airbags. The car involved in the crash was a 2001 Honda Accord, which was included in a recall for defective driver's side front airbag inflator in Feb 2010.
Earlier this year, defective Takata airbag inflators led to a massive global recall. As many as 11 automakers, including the likes of Honda, BMW, Toyota Motor Corporation TM, General Motors Co. GM, Nissan, Ford Motor Co. F, Fiat Chrysler and Mitsubishi Motors Corp., have been affected by the malfunctioning airbag inflators. These can explode, shooting metal fragments and injuring passengers, in case of a car crash.
Per Takata, nearly 33.8 million of its airbag inflators sold globally are defective. Notably, Honda has been impacted the most by the defect. U.S. regulators imposed a $70 million fine on Takata in November in relation to the defective airbags.
Honda currently carries a Zacks Rank #3 (Hold).
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