Ford reaches quality milestone as CEO pushes for cleaner launches
Ford quality milestone boosts investor hopes as recalls fall and costs improve Farley's push could help cut warranty costs, protect launches, and lift margins
Ford Motor says it has reached an important quality milestone as CEO Jim Farley pushes the company to improve future vehicle launches. In a CNBC interview published Friday, Farley said Ford is trying to avoid the quality problems and recalls that have hurt the automaker for years.
The company has already issued 53 recalls covering more than 12 million vehicles this year, after 153 recalls affecting 13 million vehicles in 2025. Ford also added to its 2026 recall total this week with a recall of 741,195 SUVs and F150 trucks from the 2018 through 2021 model years.
Ford said it cut warranty and materials costs by $1.5 billion in 2025 and is aiming for more reductions in 2026. The company’s warranty costs had reached $4.8 billion in 2023, and investors have been watching those expenses closely because they can affect earnings and guidance.
The automaker recently received a boost from J.D. Power, which ranked Ford as the top massmarket brand in its initial quality study. It was the first time since 2010 that Ford led mainstream brands in that ranking. Farley said the company still has more work to do, but he believes stronger testing, closer supplier collaboration, and tighter qualitylinked incentives can help reduce future problems.