Product Recalls: Their Avocado Hand. Our Dream-Achilles Heel

While incentives, red-tape reduction, and infrastructure support strengthen the Make-in-India initiative, there’s still a critical gap to firmly position ourselves in the evolving global manufacturing landscape. Could a robust focus on safety be the key to achieving this transformation, moving beyond mere surface improvements?

Safety is a word spelt differently in the post-Boeing defect world. Not just in the jet-setting skyline but in almost every corner of our lives where electronics purr and technology whirs.

From air fryers to children’s products to car keys to oximeters to SUVs to vehicle parts to entertainment systems to various household appliances- product recalls have become more of a norm than an exception in the last two years.

Product recall hit a five-year high in 2023 – and covering all stripes of industries (automotive, consumer products, food and drink, medical devices and pharmaceuticals) as surmised in Sedgwick’s 2024 State of the Nation report. Note that quality concerns with medical devices were the reason for 152 recalls or 15.6 per cent of the total. In the case of EVs, Electrical system issues were the leading case of automotive recalls, responsible for 193 recalls, or 21.2 per cent of the total.

As of 2024, about 121 consumer product recall notices were issued by the U.S. Consumer Product Safety Commission (CPSC) (from January-March, 2024). In February 2024 alone, the EU recalled 257 products in 17 categories with electrical appliances accounting for 42 recalls – as per Helmsman Quality & Technology Services or HQTS ‘Identification of Unsafe Products’ report Feb 24.

And this is not just a PR chore for the companies who announced the recalls. It is a heavy weight to bear when product safety can lead to fatal accidents and deaths. Especially when you are making baby loungers, electronic scooters and hoverboards. Consider how 233 deaths were tied to the products from 2017 through 2022, according to the CPSC in the USA. And 300,000 electric skateboards were recalled when four people were reported dead between 2019 and 2021 apart from injuries including paralysis and traumatic brain injury. Air fryers were not behind- with 205 cases of the fryers overheating, and fire incidents with both injuries and property damage. In the count for 2024, all-terrain vehicles accounted for 7 recalls, electrical/electronics for 10 recalls and appliances for 14 notices – with reasons straddling from fire to electrocution.

In short – products- especially those with technology components inside- are not exactly ‘safe’ today. So is this a latent need where India can shine with a new trust factor and QA-edge with all the Make-in-India strides? Especially when we can elbow out low-cost manufacturers and sweat-shops by accentuating quality. And not just that (See BOX: Can India Repair this?), when we can find a good spot in ‘fixing’ these ‘Oops-bandwagons’ by offering time-smart and cost-smart repair alternatives to other regions?

Just the Hamartia Moment We Need?

Safety can, indeed, be the hubris that can break erstwhile biggies and help India slide into the spotlight. It’s not something to be missed when we look at the fact that most of the recalled products in Feb 2024 were from China (171). The pattern continues in August 24, with 33 of the recalled products in the EU and 12 in the US coming from China – as spotted in the HQTS report.

India has enormous potential to fill quality control and safety gaps in the global manufacturing landscape.- Aneesh Jain, CTO, ThrivePass

By investing in advanced technology and automation, Indian manufacturers can significantly enhance their production processes and reduce human error, avers Niranjan Nayak, Managing Director, Delta Electronics India. “Additionally, implementing rigorous quality control measures, such as regular inspections, certifications, and data analytics, can ensure that products meet international standards. Investing in safety equipment, training employees on safety protocols, and conducting regular safety audits can help mitigate risks and prevent accidents.”

India has enormous potential to fill quality control and safety gaps in the global manufacturing landscape, and artificial intelligence plays a critical role in making this happen, concurs Aneesh Jain, Chief Technology Officer at ThrivePass and an AI Expert who began his career at Bharat Heavy Electricals Limited (BHEL). “With the Make-in-India program accelerating growth, the country has a clear potential to establish itself as a dependable hub for high-quality, safe manufacturing processes. One of the most key challenges in global manufacturing today is maintaining quality consistency while scaling up production, and India can differentiate itself by harnessing its AI capabilities.”

How Far is the Catbird Seat?

India has a head-start already – with software and technology being its strong suit for many years now. Interestingly, while battery-heating issues, accident-prone parts and fire hazards dominated the U-turn of products seen in 2023; some of these recalls were due to increased scrutiny on AI, cybersecurity and remote hacking potential – an emerging concern for many regulators. Not to forget, many vehicle-related recalls ultimately boil down to something to do with software. Cases in point: Ram pick-up trucks from Stellantis (1.5 million Ram pickup trucks from 2019 to 2024 models). And Honda Acura recently recalled approximately 5,000 ZDX all-wheel-drive (AWD) vehicles in the U.S. to update the Electronic Brake Control Module (EBCM) software. Also, over 42,000 Toyota’s 2023 and 2024 Corolla Cross Hybrid safety recalls were for a software error in the skid-control electronic control unit (ECU).

India can bring in its low-cost and technology expertise encasing the safety layer well here. Especially when we can tap into so much that we are good at.

To compete effectively in the global market, addressing quality control and safety concerns is paramount. - Niranjan Nayak,  MD, Delta Electronics India

To give the industry a much-needed boost, tax reductions and financial incentives would be critical. Lower taxes can encourage investments in domestic production facilities, quality control infrastructure, and safety testing technologies. - Niket Sinha, HQTS Group

Artificial Intelligence (AI) provides solutions that transcend traditional ways, contends Jain. “Predictive analytics, for example, can predict defects before they occur, minimising errors and improving product quality. By incorporating AI-powered quality control systems into manufacturing lines, India can accomplish faster, more accurate inspections and lower production costs while maintaining safety regulations. This not only increases efficiency but also reduces the margin for human error, ensuring that products constantly meet global safety standards.”

Furthermore, AI has the ability to streamline supply chains by recognising risks and inefficiencies, allowing manufacturers to address problems before they disrupt production, Jain notes.

Nayak reflects that India’s manufacturing sector has witnessed remarkable growth in recent years, driven by initiatives like Make-in-India. “However, to compete effectively in the global market, addressing quality control and safety concerns is paramount.”

And this is precisely where Make-in-India efforts can underline a new strength for India. “The Make-in-India initiative provides a unique opportunity for India to leverage its skilled workforce, abundant resources, and favourable government policies. By focusing on quality, safety, and innovation, India can not only bridge the existing gaps but also establish itself as a preferred destination for global manufacturing.” Suggests Nayak.

Poka-Yoke Before We Poke

But India also has its own share of hoops to jump before we claim ourselves as the ‘safety answer’ others are looking for. While safety can, indeed, be the new advantage India can explore as it emerges in the global manufacturing landscape, particularly in light of the increase in product recalls over the last two years across categories like electronics and automotive, we need to consider many factors as pointed out by Niket Sinha, Marketing Operations, South Asia, Middle East & Africa, HQTS Group (that operates in areas like inspection, auditing, testing, certification and consulting). “To solidify this advantage, reducing imports and focusing on strengthening domestic manufacturing is key. By fostering a self-reliant ecosystem, India can enhance control over the entire production process, ensuring safety standards are maintained at every step. Strengthening local supply chains also reduces reliance on external components, leading to better oversight of quality and safety.”

India’s growing prominence as a global manufacturing hub is driven by its ability to offer cost-effective yet high-quality products backed by cutting-edge technological advancements. - Harsh Pagay, Executive President – Optical Fiber & Optical Fiber Cable, HFCL

Additionally, enhancing safety regulations by introducing more stringent parameters through regulatory authorities will ensure manufacturers prioritize safety and comply with global standards, Sinha recommends. “This would raise the overall quality of products being exported from India and reduce the chances of recalls.”

India also faces challenges in quality control and safety, but it possesses the potential to overcome them, concludes Nayak. “By investing in technology, prioritising safety, and implementing rigorous quality standards, India can position itself as a competitive and reliable global manufacturing hub.”

This transition will take time, Sinha augurs. “India is still heavily reliant on imported components to fuel its manufacturing, particularly in sectors like electronics and automotive. As local production capacity grows, these dependencies will gradually reduce, but it will require sustained efforts over the coming years.”

Jain adds that as India expands its digital infrastructure and invests in AI-powered solutions, its capacity to provide precision, safety, and creativity in manufacturing will only improve. “This AI advantage puts India not only as a player in the global manufacturing market, but also as a leader capable of setting new norms for quality and safety. The synergy between AI advancements and manufacturing would surely help the Make-in-India initiative achieve long-term success on the global stage.”

Looks like it’s our time to break something. Yes, to go out there and ‘break a leg’!

By Pratima H

pratimah@cybermedia.co.in