Monday, 8th February 2010
In Business In Japan,
Toyota 'could lose billions'
Japanese car maker Toyota could be left with a bill of $2 billion (181 billion yen) after being forced to recall millions of cars for repairs.
Cars in the US, Europe, South Africa and South America are all impacted with models including the Prius, Camry and Corolla among those called back by Toyota.
Now, Toyota is predicting that it could be hit by costs of up to 181 billion yen to fix the problems, which include faulty accelerator pedals and issues with floor mats jammed under controls.
Part of this loss could include up to 70 to 80 billion yen in lost sales.
This is Toyota's biggest ever recall and has led it to call back more cars than it sold around the globe in 2009.
Fellow Japanese car maker Honda has also recalled large numbers of cars over alleged faults with the mechanisms of some electric windows, including the European Jazz model.
Written by Kimberley Homer.
Related news stories:
Applications for Tokyo Marathon 'up 68%' (25th September 2008)
Toyota enjoys strong global sales to remain largest auto maker (30th October 2012)
Toyota to enter Japan's small car market (29th September 2010)
Toyota comes under further recall criticism (21st May 2010)
Toyota shareholders sue troubled firm (22nd March 2010)