Toyota Agrees to NHTSA fine of $16.4M - Toyota Parts Blog
The NHTSA (National Highway Traffic Safety Administration) recently sent Toyota a fine of $16.4 Million because the automakers “[Failed] to alert officials of possible accelerator pedal issues in a timely fashion.”Any fines issued by a government program can be appealed for change, but Toyota has decided to not contest this fine. They believe that responsibility is the best way to get their loyal customers and the US government back on their side. Ray La Hood, Secretary of Transportation, said that “Toyota has accepted responsibility for violating its legal obligations to report any defects promptly.” In response to this concern, Toyota has just recently implemented the SMART response team.
The automotive company, over the last several months, is reported by bloomburg.com to have lost over $2 billion in sales. While this is a very large chunk of their profit, Toyota believes it is a small price to pay for the recall woes it has been going through. It seems like with this fine being paid, the light will finally seem to appear at the end of this tunnel.
However, business is not all bad at Toyota. Nikkei English News, a Japanese media source “respected around the world”, stated they are expecting Toyota to report a $531 million dollars in profit. There is no doubt that many of this money will be going towards fast response teams like SMART that will improve Toyota’s ability to react to the types of issues that caused the recalls.