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On January 29, Toyota Motor announced on its official website that Toyota Industries Co., Ltd. (TICO) reported to Toyota Motor Corporation, which commissioned TICO to develop diesel engines for automobiles, that the company had received a report from a special investigation committee. The Committee concluded that TICO may have violated the rules on issues related to emissions certification.
The findings of the Special Investigation Committee revealed that TICO's industrial engines violated Japanese laws and regulations, including older engines used in forklifts and construction machinery, and that some of TICO's automotive engines also violated Japanese laws and regulations.
It is understood that ten models around the world use the affected engines, including six in Japan, including Land Cruiser, Prado, Hilux, HIACE, Fortuner, etc. During the certification test, the ECU software used to measure the horsepower output performance of the engine is different from that used in mass production, resulting in smoother and less variable results.
Toyota Motor Corporation said it has re-inspected production products produced at the plant and confirmed that the affected engines and vehicles meet engine performance output standards. Based on the results of the investigation, TICO has decided to temporarily suspend shipments of affected engines, and Toyota has also decided to temporarily suspend shipments of vehicles equipped with affected engines.
It is worth mentioning that not long ago, Daihatsu Industries, a subsidiary of Toyota, also suspended the shipment of the models involved due to a fraud scandal.
On December 20, 2023, Japan's Daihatsu Motor released a 162-page third-party investigation report. In addition to the falsification of door trims in April and the falsification of the pole side crash test in May, 174 cases of falsification were found in 25 new test items, and the number of models confirmed to be fraudulent was 64 models and 3 engines, including those that had been discontinued. Toyota Motor Corporation ("Toyota"), Mazda Motor Corporation ("Mazda"), and Subaru Motor Corporation ("Subaru") are also affected by this investigation. Based on the results of the investigation, Daihatsu Motor has decided to suspend shipments of all Daihatsu-developed models produced in Japan and overseas, and Toyota has also decided to suspend shipments of these models. On December 21, 2023, Japan's Ministry of Land, Infrastructure, Transport and Tourism carried out an incoming inspection of Daihatsu.
On January 16, Japan's Ministry of Land, Infrastructure, Transport and Tourism announced that it will revoke the safety certification process for three Daihatsu models, including the Toyota TownAce, Mazda Bongo, and Daihatsu Gran Max. At the same time, Japan's Minister of Land, Infrastructure, Transport and Tourism Tetsuo Saito issued a rectification order to Soichiro Okudaira, president of Daihatsu Motors, asking Daihatsu Motors to take measures to prevent the recurrence of such incidents. On January 19, Japan's Ministry of Land, Infrastructure, Transport and Tourism announced that it had confirmed that Daihatsu Motor had engaged in improper conduct in 46 vehicle models through inspections. Of the 46 models that were found to have committed fraud, except for one model currently under development, the remaining 45 models were subject to technical verification such as a test to confirm compliance with the standards of the Road Transport Vehicle Act, and the test results confirmed that five models met the standards of the Road Transport Vehicle Act. Japan's Ministry of Land, Infrastructure, Transport and Tourism (MLIT) said that other models will also be quickly verified for compliance with the benchmarks, and the test results will be announced sequentially. On January 24, Japan's Ministry of Land, Infrastructure, Transport and Tourism announced that Japan's Toyota subsidiary Daihatsu Industries Co., Ltd. submitted an application to Japan's Ministry of Land, Infrastructure, Transport and Tourism to recall a total of 322,740 vehicles of two models.
In response to Toyota Industrial's certification violations, Toyota Motor said that Toyota apologizes for the major inconvenience and concern caused. As a next step, Toyota will provide detailed explanations to the authorities and quickly take appropriate measures, including testing in the presence of witnesses where appropriate.
Next, Toyota will reform its corporate culture, rebuild TICO, and review the situation to ensure product safety and quality assurance. In doing so, Toyota hopes to regain the trust of its customers and other stakeholders and become a trusted manufacturer.