Sedgwick: Product Recalls in Australia Rose in Second Half of 2024

Product recalls in Australia rose 10.3% in the second half of 2024 from the first half of the year, a new report shows.

There were 664 recall actions from July to December, up from 602 in the first half of 2024, with all five tracked industries experiencing increases. For the full year, Australia recorded 1,266 recall actions, up from 1,203 in 2023, a 5.2% annual increase, according to the latest Sedgwick Australian Recall Index report.

Notably, automative recalls surged 22.8% year over year. The automotive industry experienced the largest recall growth of all the industries tracked, with 163 recalls in the second half of the year, a 33.6% jump from the first half of 2024. Total automotive recalls for 2024 reached 285, up from 232 in 2023. More strikingly, the number of units impacted rose 74.8% to 1.12 million, compared with 638,305 units in 2023—making 2024 the highest year for defective vehicles in recent history.

Passenger cars dominated the recalls, with 79 events and 605,804 units impacted. Key drivers for automotive recalls included electrical systems (49 events), service brakes (33 events) and engine/engine cooling (19 events).

Consumer product recalls increased 14.9% in the second half of 2024, reaching 108 events, up from 94 in the first half. Electronic products were the most frequently recalled category in 2024 with 46 recall events, followed by toys (32 events) and sports and recreation products (22 events).

Choking and internal burns, particularly due to button battery risks, were the top hazards in consumer product recalls. Australian consumer product recalls increased overall by 2.5% in 2024, from 197 to 202 events, driven predominantly by the fourth quarter, which saw a total of 75 events.

The food and drink sector had 79 recalls in 2024, a 9.7% rise from 72 in 202. Food Standards Australia New Zealand issued 40 food recalls in the second half of the year, slightly up from 39 in in the first half of 2024.

Undeclared allergens made up 72.5% of all food recalls in the second half, with milk, gluten and eggs being the most common allergens found.Prepped food was the most frequently recalled product, highlighting vulnerability in the ready-to-eat segment, according to the report.

Medical device safety actions rose 4.7%, from 598 in 2023 to 626 in 2024. Software issues topped causes of device recalls with 100 events, followed by device failures (93) and manufacturing defects (59), according to the Sedgwick report.

Pharmaceutical recalls declined from 104 in 2023 to 96 in 2024, but mislabeling emerged as the leading cause, accounting for 29 events. Meanwhile, new vaping regulations and the revised Medicines Australia Code of Conduct introduced marketing and distribution restrictions, shaping future pharmaceutical compliance.

Australian regulators ramped up enforcement on corporate misconduct, particularly targeting greenwashing, AI governance and consumer protection.

Regulators took aggressive action on greenwashing violations, resulting in $24.2 million in penalties. High-profile cases included: