Ford Motor CEO Jim Farley says the company has achieved a key quality milestone, as it targets flawless new vehicle launches. Ford has led the U.S. in vehicle recalls and quality issues, with 53 recalls for over 12 million vehicles so far this year.
These issues have plagued the Detroit automaker’s earnings, degraded customer trust, and stained Ford’s reputation for much of the past decade. The company has issued an industry record of 153 recalls covering 13 million cars and trucks in 2025.
New vehicle launches are complex, and one issue can have a ripple effect on an entire product line.
Ford’s warranty costs reached a high of $4.8 billion in 2023. They reduced warranty and materials costs by $1.5 billion in 2025, and are targeting an additional reduction in warranty and material costs in 2026.
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Ford’s quality efforts have focused on finding any issues as soon as possible in a vehicle’s development.
Barclays analyst Dan Levy said, “While warranty costs had been a clear drag to earnings over the past several years, Ford appears to have ‘turned the corner.'” He believes further improvement will still be needed.
Ford was named the top mass-market brand in the U.S. in J.D. Power’s initial quality ranking. The company improved in nearly every vehicle category measured by J.D. Power in initial quality, including software, infotainment, and power trains.
Ford’s CEO Jim Farley said, “Our best days are in front of us as we continue to execute this quality turnaround for our investors, for employees, for our customers.” He believes the company is about halfway through its most recent turnaround efforts under its Ford+ business plan.
Farley knows that the ultimate success metric is the company’s long-term performance, saying “time is the most important measure of success” when it comes to quality.
Ford will continue to focus on quality, with Farley saying “we cannot lose this momentum, it has to be a culture.” The company’s efforts to improve its quality reputation, including long-term durability, are ongoing.
As Ford works to launch new products in the coming years, it’s likely that the company’s quality efforts will be put to the test.
With a large portion of its lineup set to be replaced, the company will need to ensure that its new vehicles meet the high standards it has set for itself. This means that Ford’s customers can expect to see improvements in the company’s overall quality.
In turn, this could lead to increased customer trust and loyalty, which are essential for the company’s long-term success.
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