Japan regulators say safety products supplier Joyson falsified data, shipped substandard products, Nikkei reports

TOKYO -- The Japanese unit of automotive safety products supplier Joyson Safety Systems has falsified performance data for its seat belts and shipped substandard products, the Nikkei business daily reported on Tuesday.

Joyson Safety Systems Japan, which took over the main businesses of bankrupt airbag maker Takata Corp., could not be reached for comment outside business hours.

The Japanese transport ministry has asked the company to submit an investigation report, and has also told automakers to prepare for recalls of the seat belts in question, Nikkei said, citing sources.

The ministry was not available for comment.

The company is the top seat belt maker in Japan with a market share of about 40 percent, according to Nikkei.
 

Joyson Safety was created by Key Safety Systems' $1.6 billion acquisition of scandal-plagued Takata's assets in U.S. Bankruptcy Court in 2018. The deal was financed by Key Safety's Chinese parent company Ningbo Joyson Electronics Corp., private equity firm PAG and Chinese state-owned Future Industry Investment Fund. Key Safety changed its name to Joyson Safety in April 2018 and moved its headquarters within the Detroit suburbs to Auburn Hills, Mich.

Takata was responsible for the largest safety recall in automotive history for defective airbags that could explode and spread shrapnel within a vehicle during an accident. At least 26 deaths -- including 17 in the U.S. -- and 290 injuries have been linked to the defective airbags globally.

Joyson ranks No. 39 on the Automotive News list of the top 100 global suppliers with worldwide sales to automakers of $6.6 billion in 2019.

Automotive News and Crain's Detroit Business contributed to this report.