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Bloomberg
Shares in Ferrari NV tumbled the most in more than two weeks after the luxury sports carmaker issued a recall for 2,222 of its vehicles in China, telling owners there may be some problem with the brakes.
According to Bloomberg Intelligence data, that’s the equivalent volume of almost every car Ferrari has sold in the country since 2018 up until March. Stock in Ferrari fall 3.3%, bringing
declines for the year to 13%.
Ferrari didn’t immediately respond to a request for comment.
A notice posted on the State Administration for Market Regulation’s website said the recall covered imported 458 Italia, 458 Speciale, 458 Speciale A, 458 Spider, 488 GTB and 488 Spider series cars made between March 2, 2010 and March 12, 2019.
“Vehicles covered by this recall may potentially increase the risk of brake fluid leakage, resulting in reduced braking performance or brake failure,†it said.
It advised users to drive the vehicle with caution and, if the low brake fluid level warning light comes on, stop immediately and arrange a tow truck. The recall starts on May 30.
Bestinver Securities analyst Andrea Trovarelli said the recall was negative news for Ferrari but noted any impact would be short term. “We remind readers that in FY21, Ferrari shipped around 3,700 vehicles in APAC, that is around 33% of total shipments,†Trovarelli wrote.
According to a US local media report last year detailing a similar recall of Ferraris in the US, the 458 and 488 models have a braking system made by Robert Bosch GmbH that can malfunction due to an oil leak from the master cylinder or brake booster assembly.
For the cars in China, Ferrari International Trading (Shanghai) Co. will replace the brake fluid reservoir cap free of charge for vehicles within the scope of the recall.