GM recalls could cost $700M in Q2


General Motors is closing in on 50, recalls that is.

Despite only recently hitting the halfway point of 2014, the auto giant issued its 44th recall of the year earlier this week noting it would “rework or replace” the ignition keys on nearly 188,000 vehicles in Canada because the ignition switch may inadvertently move out of the “run” position if there is added weight on the keychain.

“The use of a key with a hole, rather than a slotted key, addresses the concern of unintended key rotation due to a jarring road event, such as striking a pothole or crossing railroad tracks,” GM said in a release Monday.

This latest recall affects seven cars and covers more than 3.3 million units in North America. Models affected are: 2005-2009 Buick LaCrosse, 2006-2014 Chevrolet Impala, 2000 to 2005 Cadillac Deville, 2004-2011 Cadillac DTS, the 2006-2011 Buick Lucerne, the 2004 and 2005 Buick Regal LS and GS, and the Chevy Monte Carlo from the 2006 through 2008 model years.

This latest round follows a review of ignition issues following the recall in February of 2.6 million Chevrolet Cobalts and other small cars. GM is aware of eight crashes and six injuries related to this recall.

If the ignition switch moves out of the “run” position, there is an effect on power steering and power braking. In addition, the timing of the key movement out of the “run” position, relative to the activation of the sensing algorithm of the crash event, may result in the air bags not deploying.

GM said repairs would consist of adding an insert to the ignition keys of the recalled vehicles to close the slot and leave a 4 x 6-millimeter hole through which the key ring could be attached.

In vehicles where the key cover has been worn, new keys with holes instead of slots will be provided free of charge.

Rework of the keys – adding key inserts – at GM dealerships is expected to begin in the next few weeks. Until the rework or replacement is completed, owners of the recalled cars are urged to remove additional weight from their key chains and drive with only the ignition key.

In addition to the ignition key recall, GM also announced Canadian recalls for vehicles included:

  • 6,135 model year 2013-14 Cadillac ATS and 21,863 model year 2014 Cadillac CTS sedans for automatic transmission issues;
  • 6,778 2015 Chevrolet Silverado 2500/3500 HD and 2015 GMC Sierra 2500/3500 GMC Sierra HD to inspect for proper attachment of power steering hose clamps to the power steering pump;
  • 790 model year 2011 Cadillac CTS sedans with AWD for potential gasket leaks where the constant velocity joint meets the rear propeller shaft that may cause the rear propeller shaft to separate or become loose, making contact with the vehicle floor above and causing the rollover sensor to deploy the roof rail air bags. GM said of the latter recall, it is aware of 15 unintended deployments but noted the “injury data is unclear.”

It also has issues a recall for 61 2014 Chevrolet Corvettes with optional Competition Sport Seats, because an unbelted child and door trim may block the passenger seat side air bag vent in a deployment.

The automaker expects recall-related repairs to swallow as much as $700 million in the second quarter. This amount includes a previously disclosed $400 million charge for recalls announced May 15 and May 20.

Since the start of 2014, published reports indicate GM has recalled more than 20 million vehicles worldwide.