Ford recalls nearly half million Windstar vans over rusty axle concerns

By Surojit Chatterjee: Subscribe to Surojit's

August 28, 2010 5:26 PM EDT

Ford Motor Co. (NYSE.F), the No.2 automaker in the US, announced a recall, Friday, of over half a million Windstar vans to address concerns that the rear axle may fracture due to corrosion.

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Ford said the recall affects nearly 575,000 Windstar minivans in the United States and in Canada.

The automaker said the National Highway Transport Administration (NHTSA) has been informed of the recall and it is working closely with the safety agency to address the problem.

On May 13, NHTSA had opened an investigation into the problem after it received 234 reports that the design of the rear axle of Windstar of model years 1999-2003 allows it to collect road salt and slush, leading to corrosion.

Corrosion of the axle could lead to a fracture of the component, which in turn could make the driver of the minivan lose control of the vehicle and cause an accident with disastrous consequences.

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NHTSA said it has received reports about two accidents linked to the problem but there were no reports of injuries or death. The safety agency said 462,750 Windstar vans in the US and 112,000 in Canada will be recalled.

Ford said Windstar owners will be notified about the matter individually and asked to bring their vehicles to Ford or Lincoln-Mercury dealerships for inspection.

If the axle shows a crack, it will be repaired or replaced free of charge.

And, if the axle shows no sign of fracture, owners will be informed when to return to have reinforced brackets placed on the axle, Ford said.

The automaker said the recalled vehicles are of model years 1998-2003 and were either sold or registered in 21 "Salt Belt" states, including Michigan, New York, Pennsylvania, Ohio, Massachusetts and the District of Columbia, where state road agencies treat roadways with road salt during the winter.

"After many years of vehicle service in these areas, corrosion can weaken the rear axle, making it susceptible to torsional stress," Ford said in a statement.

The recall is expected to kick off on September 27.

This is the second time Ford has recalled the Windstar in less than a year. Last October, the automaker recalled Windstar of model years 1995-2003 to fix a speed control deactivation switch.

In the past decade, Ford has recalled Windstar on several occasions to repair or replace wiper motors, auxiliary air conditioning, power window wiring, windshield glass, floor mats, seat belt buckles and fuel line clips.

Friday's recall announcement failed to erode shareholders' confidence. Ford shares closed up 3.49 percent at $11.56.

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