Emissions violation leads Fiat to recall 863,000 vehicles

WA SHINGTON/N EW YOR K • Fiat Chrysler Automobiles NV recalled almost 863,000 vehicles that violate U.S. emissions standards, another setback for a company that just agreed to make amends for building different trucks and SUVS that polluted more than legally allowed.

The voluntary recall of 2011 through 2016 model year Jeep, Dodge and Chryslers will be implemented in phases throughout the year, the U.S. Environmental Protection Agency said Wednesday. The automaker won’t be fined or face allegations of wrongdoing. The cost of the callback was accounted for last year, according to the company.

The recall of gasoline-powered models was prompted by a so-called in-use investigation by EPA as well as testing done by Fiat Chrysler required by agency rules, the regulator said. The EPA routinely tests the emissions of vehicles driven by consumers to ensure that tailpipe emissions remain within legal limits over time.

“EPA will continue to investigate other FCA vehicles which are potentially noncompliant and may become the subject of future recalls,” the regulator said in its statement. Fiat Chrysler shares fell as much as 2.1 per cent and traded down 0.9 per cent to US$14.36 as of late afternoon in New York.

Fiat Chrysler will replace the catalytic converter and update the emissions-calibration software on the affected vehicles, and the changes won’t affect fuel economy or performance, said Mark Chernoby, the company’s chief technical compliance officer.

The company’s internal tests showed the excess emis- sions, and it decided to recall the vehicles last year, he said.

The California Air Resources Board also was part of the investigation that led to the recall, and roughly 50,000 affected vehicles are in the state, according to the state’s clean-regulator. In California, drivers must complete the recall repairs in order to register their vehicle, the agency said in a statement.

Emissions recalls occur less frequently than safetyrelated callbacks. Manufacturers conducted 85 emissions recalls covering more than 5.3 million vehicles in 2017, according to the EPA. By contrast, automakers issue hundreds of safety-related recalls annually.

Emissions recalls are less common in part because catalytic converters have become more durable since the devices first appeared decades ago to lower tailpipe pollution, said John German, an independent auto industry consultant.

“It used to be routine,” he said, “but these kinds of emissions recalls are becoming more rare.”

The recall is beginning two months after Fiat Chrysler agreed to pay about US$800 million in fines and costs to settle lawsuits brought by states, car owners and the U.S. Justice Department, which said the company’s diesel-powered pickups and SUVS violated clean-air rules. Jeffrey Bossert Clark, assistant attorney general for the Justice Department’s Environment and Natural Resources Division, called the ItalianAmerican company “a multinational corporate bad actor” when the penalties were announced in January.

The settlement didn’t require Fiat Chrysler to admit wrongdoing. The pact also didn’t resolve any potential criminal liability associated with the emissions violations, the Justice Department said at the time.