Is Your Dealership Ready For A National Takata Airbag Recall?

The Takata airbag recall has dominated headlines in recent weeks. From U.S. Senators to the media, it’s been an automotive industry issue. However, the question of whether or not it will impact dealers hasn’t been as closely examined. That all changed, however, with the recent report about a Takata airbag recall shortage. The airbag inflators that several automakers need to replace as part of the airbag recall are in short supply. Several news outlets are reporting that it could take Takata two years to manufacturer enough airbag inflators to satisfy the current demand. That means catering to the roughly 7.8 million recalled vehicles. There’s no telling how short the supply could become if the Federal Government mandates a national recall. If Takata were required to enlist the help of other airbag inflator suppliers, there would likely be a lengthy testing process. Estimates indicate that a minimum of one year of testing would be necessary for inflator manufacturers such as TRW automotive or Autoliv Inc. to help supply those parts to Takata. Toyota North America’s Chief Quality Officer, Dino Triantafyllos, told Automotive News that those estimates are about right. “We have been advised by suppliers that the development and production of a replacement inflator for a particular model by a supplier other than Takata could take a minimum of one year, and could take longer,” Triantafyllos said.

The parts headache is based on supplying airbags for about the same amount of vehicles that are already recalled. However, how likely is it that the government will call for a nationwide recall? Who is pushing for the expanded recall? A few politicians are behind it, as well as the NHTSA. As we told you last week, the so-called consumer safety watchdog is pushing for a larger scale recall of vehicles equipped with Takata airbags. “We now know that millions of vehicles must be recalled to address defective Takata air bags and our aggressive investigation is far from over,” said David Friedman, Deputy Administrator of the NHTSA. The support for the larger recall seemed to only grow with the attention that the Takata recall hearing received last week.

What kind of a situation would dealers be in if there is a national recall? There aren’t enough parts now to facilitate the current recall. How will dealers handle customers who want their vehicle fixed as soon as possible, when the wait on the current situation could be one year once secondary suppliers are contracted? Will it be a matter of saying that there’s nothing that you can do, or turning this increase in service traffic into something positive?