Toyota's Daihatsu Suspends Shipments Amid Escalating Safety Cheating Scandal

Daihatsu, a car manufacturing subsidiary of Toyota Motor, is halting all its vehicle shipments due to the safety cheating scandal that it is currently facing. The company made this decision as the issue is already escalating after a recent investigation into the alleged wrongdoings revealed defects in 64 model units, including nearly two dozen vehicles sold under Toyota’s name.

The Root of the Scandal: Daihatsu’s Revelation

According to Reuters, an independent team is investigating Daihatsu after revealing in April that it had illegally interfered with the side-collision safety tests carried out for 88,000 units of small cars that the Toyota brand mostly sold. In simpler words, the automaker said it manipulated the safety test results so the vehicles passed it.

However, in the latest development regarding the case, it was suggested that the extent of the scandal is far greater than initially thought. The revelation and the recent discoveries could potentially damage Daihatsu’s reputation for safety and quality.

Result of Cheating Investigation

It was discovered that Daihatsu cheated on the safety tests on almost all the vehicle models it is currently producing and some models it produced in the past. This problem emerged after the company said in April that it found out about the improperly conducted tests through a report from a whistleblower.

Daihatsu immediately reported the matter to the regulatory agencies, and shipments of the affected vehicles were halted. Associated Press News reported that based on the results of the independent panel’s investigation, in addition to the already reported manipulated results, there are 174 new cases of irregularities in the safety tests and 25 test categories for other procedures.

“We are sorry to have betrayed the trust of our customers,” Soichiro Okudaira, president of Daihatsu, told the media on Wednesday, Dec. 20, in response to the new findings. “We take it very seriously as the problem that has shaken the foundation of an automaker.”

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