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Daihatsu Rigged Test Scandal: On-site Inspection By Japanese Transport Ministry

Published December 22, 2023
2 years ago

TOKYO, Japan – In a move to ensure vehicle safety and compliance, the Japanese Transport Ministry initiated an on-site inspection at Daihatsu Motor Co., a unit under the Toyota umbrella, this Thursday. This decision followed a revealing investigation that indicated a prolonged history of malpractice within the company, extending back to 1989.


Daihatsu, now confronting the gravity of falsified safety tests, has suspended the shipment of all its vehicles, an action demonstrating the severity of the issue at hand. The extent of the scandal surfaced when the transport ministry disclosed the depth of deceptive practices that permeated various test categories, impacting a significant count of 174 items.


This independent probe into the internal operations at Daihatsu was spawned by a safety scandal that became public knowledge in April. What had originally been deception detected in door component tests and side-impact evaluations now appeared to be a systemic issue.


Adding to the company's existing woes, the global giant Toyota, Daihatsu's parent company, was also rocked by a sizeable recall of around a million vehicles in the United States. These models, including those from the luxury Lexus brand, were found to have potential airbag system issues, further tarnishing the company's reputation.


The embroiled subsidiary made an immediate response upon discovery of new malpractices within its internal examination, quickly putting together a detailed report which was submitted to the ministry on Wednesday. The report in May was followed by this recent documentation in a bid to present full transparency.


Nobuhito Kiuchi, an official from the Transport Ministry, conveyed to the press that the immediate intent behind the on-site inspection was to authenticate the claims Daihatsu had put forth in its report. Moreover, the wider scope lies in unearthing any additional misconduct that may have gone unnoticed. To undertake this, officials anticipate the investigation will stretch into the early months of the coming year.


As the ministry aims to conclude its examination thoroughly, any punitive administrative orders will be withheld until all facts have been exhaustively evaluated.


Japanese broadcasters captured the gravity of the situation as they aired visuals of a contingent of over a dozen officials as they entered the Daihatsu headquarters in Ikeda, located in the Osaka Prefecture. The century-old automotive firm, which began by manufacturing engines and launched its first three-wheeled vehicle in the early 20th century, saw its equity greatly shaken. Following the news, Toyota's shares plummeted by nearly four percent on the Tokyo Stock Exchange, adding a financial sting to the reputational damage already inflicted.


Under the shadow of this scandal, Toyota too has echoed Daihatsu's sentiments, extending "sincere apologies" and committing themselves to undertake "fundamental reform" in the wake of these disturbing revelations. As the investigation unfolds, the industry and consumers alike wait to see the outcome and the measures that will be implemented to prevent such occurrences in the future.



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