Companies and Brands

Does Harley-Davidson Have Same Ignition Recall Woes as GM?

HOG FXDL motorcycle
Source: Harley-Davidson Inc.
Harley-Davidson Inc. (NYSE: HOG) has notified the U.S. National Highway Transportation Safety Administration (NHTSA) that the company is recalling 4,250 of its 2014.5 FXDL Dyna Low Rider motorcycles shipped globally to repair a defect that could cause the ignition key to move on its own from the On position to the Acc position, shutting off the motorcycle’s engine. The company discovered the defect in its own testing and there are no reports of crashes or injuries.

The problem can be caused by customizing the bike to operate at more than the factory setting of 5,600 RPMs. Running the engine at a higher RPM level could result in excessive engine vibrations that cause the ignition switch to shut itself off, causing the engine to stall and increasing the risk of a crash. The company will replace the engine mount bracket and the ignition switch knob on affected motorcycles.

The electronic control module on production motorcycles is calibrated to allow maximum RPMs of 5,600, but owners can legally modify that so that the engine will operate at higher revs. At 5,800 RPMs the mount bracket’s resonant frequency is equal to the engine speed and causes the excessive vibrations.

While this defect is different from the ignition switch problem that has forced the recall of millions of General Motors Co. (NYSE: GM) vehicles, the effect is the same. Both can cause the engine to stall, cutting off power unexpectedly.

Harley-Davidson said it had begun notifying dealers of the recall on July 7 and owners on July 21.

Harley-Davidson made this year’s list of the world’s 10 most respected brands and a list of America’s most patriotic brands. Getting out in front of this issue, as the company appears to have done, should help it maintain those perceptions.

The company’s stock was down just 0.1% on Friday, at $61.75 in a 52-week range of $57.30 to $74.13.

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