While automotive recalls fells in the third quarter, the number of affected units was up 43.6%. (Credit: Hound/Adobe Stock)

U.S. product recalls in 2024 are on track to reach a six-year high, according to the latest Sedgwick U.S. Recall Index report.

So far this year, there have been 2,454 product recalls across five industries, nearly matching the 2,459 recalls recorded in the first three quarters of 2023. The first three quarters of 2024 saw 580.4 million defective units, up nearly 10% from 528.7 million during the same period in 2023.

If the pace of recalls continues in the fourth quarter, 2024 will beat 2023 — which set a five-year record — with recalls reaching a new six-year high.
The increasing number of recalls is primarily driven by growth in three industries this year: medical device (up 134.5%), U.S. Department of Agriculture food (up 112.7%) and consumer product (up 38.5%).

Overall, the third quarter saw the number of both recalls and defective units fall compared to the previous quarter, but that trend will likely be reversed in the fourth quarter due to year-end consumer behavior and other factors.

Industry-specific highlights from the report included:

• Automotive recalls decreased by 3.3% in the third quarter, falling from 243 in the second quarter to 235 in the third, marking the second-lowest total in two years. But the number of affected units was up 43.6% quarter-over-quarter to 7.14 million.
• The consumer products industry saw recalls fall 20.9%, from 86 in the second quarter to 68 in the third quarter. The number of defective units fell 73.9%, from 39.07 million in the second quarter to just 10.18 million in the third.
• The U.S. Food and Drug Administration (FDA) recorded a 5.9% drop in recalls in the food and drink sector and 52.2% drop in affected units. However, the U.S. Department of Agriculture saw recalls rise 50% in the third quarter and affected units were up 5,366.7% due to a major Listeria-related recall. That’s the second-highest quarterly total of affected units in more than five years.
• The medical device industry was the only other sector to see recalls increase in the third quarter, up 8.3% compared to the second quarter. The industry recalled 158.73 million units, the second-highest total in the past two years.
• Pharmaceutical recalls were down 24.7% in the third quarter, reaching the lowest quarterly figure since the end of 2021. But defective units were up 80.2% compared to the second quarter.

In the automotive industry, the National Highway Traffic Safety Administration issued a final rule requiring manufacturers to retain certain safety-related documents for 10 years instead of five, as the average age of vehicles on the road continues to increase.

The U.S. Consumer Product Safety Commission has continued to take an aggressive enforcement stance. In the third quarter, it issued a unilateral recall announcement when a seller of a defective product did not cooperate.

In October, the FDA implemented its Human Foods Program, which unifies all FDA activities related to food safety and nutrition into one group. The agency also issued updated guidance for medical device manufacturers on the steps they can take to address misinformation about their products on the internet.

The recent election could impact regulator priorities and rulemaking authority going forward, said Chris Harvey, Sedgwick’s senior vice president of brand protection, in a statement.

“Despite potential policy changes, product safety will remain a key issue for both consumers and regulators, who increasingly turn to social media to spotlight how companies respond to product-related crises,” he said. “Companies must prioritize their recall readiness to protect their brand regardless of the regulatory landscape.”

See also:

• NHTSA hits Ford with $165 million penalty
• Spate of self-driving probes points to U.S. setting higher safety bar
• Most partially automated vehicles lack proper safeguards, IIHS reports