Chrysler declines NHTSA's request to recall 2.7M Jeeps over fire issue

Chrysler has declined to recall 2.7 million Jeep vehicles as requested by the National Highway Traffic Safety Administration.

Following a year-long investigation, the NHTSA sent a recall request letter to Chrysler proposing that the Auburn Hills-based automaker recall Jeep Grand Cherokee models from the 1993-2004 model years and Jeep Liberty SUVs built between 2002 and 2007. On Tuesday, Chrysler said it does not intend to recall the vehicles cited in the investigation because they are not defective.

“The safety of drivers and passengers has long been the first priority for Chrysler brands and that commitment remains steadfast,” said Sergio Marchionne, Chairman and CEO of Chrysler Group LLC. “The company stands behind the quality of its vehicles. All of us remain committed to continue working with NHTSA to provide information confirming the safety of these vehicles.”

The NHTSA sent the recall request letter to Chrysler after it determined that certain Grand Cherokee and Liberty models were prone to fires following rear-end collision. The NHTSA attributed the increased risk of fire to plastic fuel tanks located between the vehicles' rear bumper and rear axle.

The NHTSA says 15 deaths and 41 injuries have been caused by the faulty fuel tank design.

Chrysler denies that the Grand Cherokee and Liberty are more dangerous than other SUVs and says both models “met and exceeded all applicable requirements of the Federal Motor Vehicle Safety Standards.”

The automaker continued: “Our analysis shows the incidents, which are the focus of this request, occur less than once for every million years of vehicle operation. This rate is similar to comparable vehicles produced and sold during the time in question.”

Although Chrysler isn't admitting any fault, the automaker has changed the design and location of the vehicles' fuel tanks.

Although a rare occurrence, automakers can refuse to issue a recall when prompted by the NHTSA. The safety agency can hold a formal hearing to force Chrysler to issue a recall, but the Michigan automaker would then have the ability to challenge the NHTSA in U.S. District Court.