General Motors Co. GM -0.82% said it would recover from supplier LG 066570 3.33% Electronics Inc. nearly all of the $2 billion cost of recalling Chevrolet Bolt electric models for the risk of battery fires.
GM said Monday that LG will reimburse GM because of manufacturing defects in battery modules supplied by the Korean company. GM in August expanded a previous recall to include all of the roughly 142,000 Bolts that the auto maker has produced since 2016, citing a likely manufacturing flaw that has been linked to at least 13 fires.
In its third-quarter earnings later this month, the Detroit auto maker expects to report a recovery from LG of about $1.9 billion of the $2 billion in charges related to the safety action, it said.
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