Toyota scandal widens as new testing violations found

Toyota’s vehicle certification scandal widened in Japan when regulators here identified yet new nameplates in violation, forcing the carmaker to suspend more shipments.

The world’s biggest automaker said July 31 it briefly halted shipments in Japan of the Noah and Voxy people mover vans following the latest findings by Japan’s ministry of transportation.

The ministry issued a correction order to Toyota Motor Corp. the same day, instructing the Japanese manufacturer to make “drastic reforms,” the company said in a news release.

“It is with deep regret that we were not able to properly conduct our certification operations,” Toyota said. “We will continue to take appropriate measures for all cases.”

The new findings came after ministry inspectors conducted on-site investigations of Toyota facilities and discovered additional instances in which the company was not properly certifying vehicles. All told, they found eight new procedural violations affecting seven nameplates.

The revelations follow an embarrassing announcement on June 3 that Toyota and three other automakers — Mazda Motor Corp., Honda Motor Co. and Suzuki Motor Corp. — had not been conducting vehicle testing in compliance with the ministry’s certification standards.

But the misconduct was especially sensitive for Toyota, following earlier certification missteps at several Toyota Group companies, including its truck-making unit Hino, its minicar subsidiary Daihatsu and an engine and parts supplier called Toyota Industries Corp.

The continuing misconduct tarnished Toyota’s image and distracted it from daily business as it looked backward to troubleshoot and correct problems.

The scandal also triggered an investor backlash against Chairman Akio Toyoda at the annual shareholders’ meeting in June, when the longtime company leader saw his support rate fall to a record low.

Meanwhile, Toyota’s forced production suspension following the misconduct contributed to a 13 percent slide in global output in June. The slowdown may have dragged down earnings in the April-June fiscal first quarter, a result that will be announced Aug. 1.

The initial misconduct identified in June forced Toyota to suspend deliveries of three affected vehicles still in production: the Corolla Fielder, Corolla Axio and Yaris Cross. Several affected models had already discontinued, including the Crown, Isis, Sienta and Lexus RX.

Toyota said July 31 that it plans to resume production of the Corolla Fielder, Corolla Axio and Yaris Cross in mid-September after the ministry confirms they are in compliance.

The newly identified violations, announced July 31, affect several vehicles still in production, but several of them were certified outside of Japan and apparently do not require suspension. 

The Voxy and Noah vans, however, are Japan-market offerings that were halted.

On those models, Toyota conducted improper occupant protective device testing in relation to their navigation displays. It tested with parts not used in mass production, the company said. Toyota said it suspended shipments July 29 and that they were deemed, after further review by the ministry, to be in compliance on July 31. Toyota plans to resume shipments as soon as possible.

Other vehicles that underwent improper certification included the Lexus RX in 2015, the RAV4 in 2017, the Camry in 2017, the Toyota Harrier crossover in 2022 and the Lexus LM van last year.

Toyota blamed the lapses on on-site and managerial oversights.

The problems included unclear internal operational rules for preparing documents required for certification application and insufficient awareness of the importance of certification work. 

Toyota also said management lacked full understanding of and involvement in certification.