GM in Focus: Potential Warranty Challenge Due to Engine Failures

The National Highway Traffic Safety Administration (NHTSA) has initiated a preliminary investigation against General Motors, which could affect over 877,000 SUVs and trucks of the company. The focal point of the investigations is a potential engine failure in vehicles equipped with the L87 engine, a 6.2-liter V8, revised in 2019. A total of 39 complaints and numerous early warning reports point to the failure of bearings that could affect the crank mechanism of the engine. These issues can occur without warning and lead to a loss of power, increasing the risk of accidents. If a recall occurs, GM would have to replace the affected bearings, which could incur significant costs for nearly 878,000 vehicles. Last year, the company already invested $700 million in warranty claims. A recall could therefore have substantial economic implications. General Motors has assured in a statement that customer safety and satisfaction are of utmost priority. The automaker is cooperating fully with the NHTSA to evaluate the problem. The next update on the company's financial situation, including warranty costs, is expected at the end of January.