File: The Ford logo. AFP/Justin Sullivan/Getty
NEW YORK - Shares of Ford got a lift Thursday when a prominent US consumer survey extolled the Michigan auto giant's quality performance, a sign of improvement after stumbles in recent years.
Ford ranked first among mass market brands in the JD Power 2026 US Initial Quality Study, which is based on a survey of more than 78,000 consumers questioned on vehicle performance after 90 days of ownership.
That's welcome news for the automaker, which has by far the most recalls in 2026, according to data from the US National Highway Traffic Safety Administration (NHTSA).
Shares of Ford rose two percent in afternoon trading.
Ford executives described the JD Power rating, which is also based on repair visit data, as evidence it has learned from past missteps that led to problematic vehicle launches and other snafus.
Among the steps it has taken, Ford established a new software quality assurance team and introduced new management strategies to enhance collaboration between engineering, supply chain and manufacturing teams.
It has also hired more than 350 engineers seasoned in product development to guide younger engineers, executives said in a media briefing this week.
Ford Chief Operating Officer Kumar Galhotra said the company is proud of its progress while also recognizing the process as one of "continuous improvement."
The company's most recent difficulties include an April recall of nearly 1.4 million of the best-selling Ford F-150 pickup trucks over an unintended, abrupt downshift in gear, which could result in loss of control. The vehicles were produced between 2014 and 2017.
In May, Ford recalled about 420,000 Lincoln Navigator and Ford Expedition vehicles due to a seatbelt defect that can lock the seatbelt, potentially resulting in an injury in a crash. The vehicles were produced between 2017 and 2022.
The company in November 2024 also paid a $165 million civil penalty to settle enforcement after NHTSA investigators found Ford failed to recall vehicles with defective rearview cameras in a timely manner. A consent order required Ford to install an independent monitor for three years.
At the press briefing, Galhotra said most of these problems involved older models, calling recalls a "lagging indicator" of Ford's operations.
"Now we have internal indicators that were tracking that show clear improvements in newer vehicles versus the vehicles and platforms that were designed between 2013 and 2020," said Galhotra, who noted that Ford's warranty costs are expected to drop in 2026 again after declining in 2025.
"Because we're doing more to prevent issues up front, we believe these recall numbers are going to steadily come down with newer vehicles," he said.
- AFP