Japanese Auto Industry Hit by Series of Certification Fraud Incidents... Toyota Halts Production and Shipments

Toyota Motor Corporation announced on June 6 that it would halt production of three vehicle models, the 'Yaris Cross', 'Corolla Fielder', and 'Corolla Axio', due to irregularities found in the type designation certification process required for vehicle production. Production will be suspended at least until the end of this month, when the ongoing investigation is expected to conclude. Following that, Toyota will consider resuming production if the Ministry of Land, Infrastructure, Transport and Tourism lifts its shipping suspension order. The three models subject to the production halt have an annual production volume of approximately 130,000 units, produced by Toyota Motor East Japan at two production lines located in its factories in Ohira Village, Miyagi Prefecture, and Kanegasaki Town, Iwate Prefecture. The Yaris Cross is a compact SUV primarily sold in the Japanese domestic market, with some sales in overseas markets as well. The other two models were found to have engaged in irregularities in the pedestrian head injury verification process during collision tests.

This incident stems from a series of certification irregularities that have occurred since 2022, involving companies such as Hino Motors, Toyota Auto Body, and Daihatsu Motor. The Ministry of Land, Infrastructure, Transport and Tourism instructed various companies to investigate whether similar cases existed. As a result, five companies – Toyota Motor, Mazda, Yamaha Motor, Honda, and Suzuki – reported irregularities in vehicle performance testing.

In Toyota's case, irregularities such as the submission of false data were confirmed in seven vehicle models during tests designed to assess pedestrian head protection during collisions. Mazda was found to have arbitrarily manipulated control software during engine output tests in five models. Yamaha was found to have conducted noise tests under inappropriate conditions in three models. Honda was found to have falsified noise test results in 22 models, while Suzuki was found to have falsified brake test results in one model.

The Ministry of Land, Infrastructure, Transport and Tourism has instructed Toyota, Mazda, and Yamaha – three companies where irregularities were confirmed in currently produced models – to halt shipments of the affected models until they can verify compliance with national standards. The shipping suspension applies to three Toyota models, two Mazda models, and one Yamaha model. The Ministry plans to investigate the facts further, including conducting on-site inspections at the five companies.

Toyota Motor has halted the shipment and sale of three currently produced models, the 'Corolla Fielder', 'Corolla Axio', and 'Yaris Cross', in response to the Ministry's instructions. Toyota stated, "We sincerely apologize for the concern and inconvenience caused to our customers and stakeholders who have placed their trust in Toyota. Similar to the certification issues that arose at Hino Motors, Daihatsu Motor, and Toyota Auto Body, we are taking the occurrence of this issue at Toyota very seriously."

Toyota revealed that although all affected models have been confirmed to have no performance issues, they have decided to halt the shipment and sale of the three currently produced models from June 3rd. At a press conference, Toyota Motor President Akio Toyoda explained, "We made mistakes in our approach to certification. We cannot proceed with mass production unless this is resolved. As a result of this, we are forced to halt production lines." He also added, "We will fully cooperate with authorities and do our utmost to obtain approval and resume production as soon as possible."

This incident has dealt a significant blow to the overall credibility of the Japanese automotive industry. Going forward, each company will need to implement thorough countermeasures to prevent recurrence of certification irregularities and work to restore consumer confidence.