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Toyota Chief Apologizes for Testing Irregularities at Group Company

by Richie
01/30/2024
in Industry, Manufacturing

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Koji Sato, Toyota’s Chief, issued an apology on Monday to customers, suppliers, and dealers due to flawed testing practices at a group company, marking a recurrence of similar issues in recent years.

The apology precedes Chairman Akio Toyoda’s announcement of a “global vision” for Toyota Motor Corp. The latest incident involves testing irregularities at Toyota Industries Corp., responsible for manufacturing diesel engines. False results were uncovered during certification testing and other sampling inspections, falsely claiming that the engines met standards when they did not, according to Toyota.

Sato, expressing regret, stated in a hastily called news conference that Toyota is committed to resuming production at the earliest. He acknowledged that management failed to fully comprehend and monitor the details of the situation on the ground.

Last year, Daihatsu Motor Corp., a Toyota-owned company specializing in small cars, faced a similar scandal involving the skirting of required tests, exposed by a whistleblower. In 2022, Hino Motors, a truck manufacturer within the Toyota group, admitted to systematically falsifying emissions data dating back to 2003.

While no major accidents have been reported in connection with these irregularities, they have raised concerns about oversight within the companies and Toyota itself. Production of several Toyota group models has been halted until proper testing is conducted, although existing owners can safely continue to drive their vehicles.

Sato, addressing the root causes of the repeated scandals, emphasized the need for improved communication among companies and enhanced education regarding rule compliance. He acknowledged the competitive pressures in the auto industry, leading workers to cut corners. Sato stressed the importance of Toyota’s management understanding the evolving auto industry technology to prevent future issues.

The recent problem impacts 7,000 vehicles monthly in Japan and 36,000 vehicles globally, sold in various regions except North America. Affected models include the Land Cruiser and Hilux sport utility vehicles, according to Toyota.

Get the latest supply chain report news insights at The Supply Chain Report. For international trade resources, visit ADAMftd.com.

#ToyotaApology #TestingIrregularities #KojiSato #AkioToyoda #ToyotaIndustries #Daihatsu #HinoMotors #AutoIndustry #Compliance #VehicleSafety #GlobalVision #AutomotiveOversight #QualityControl

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