Toyota Motor Recalls 1.7 Million Cars Globally for New Defects
Toyota Motor Corp., the world’s biggest carmaker, recalled about 1.7 million vehicles globally for defects in fuel pipes and pumps, pressure sensors and spare tire carriers, Bloomberg reported.
In Japan, Toyota will recall 1.28 million units of models including the Voxy, Noah and Isis minivans and RAV4 sport- utility vehicles, according to statements from the company. Separately, Toyota said it would conduct a voluntary safety recall of 245,000 Lexus luxury cars in the U.S. to inspect installation of fuel pressure sensors and call back 135,000 Avensis sedans in Europe for potential defects in fuel systems.
The automaker, based in Toyota City, Japan, is struggling to recover its reputation for reliability after record recalls, mainly for problems relating to unintended acceleration. General Motors Co., the second-ranked global automaker, narrowed Toyota’s lead in 2010 after the Asian automaker’s sales fell 0.4 percent in the U.S.
“After Toyota’s recalls last year, the company is more sensitive to recall issues and conducting them as early as possible,” said Satoru Takada, a Tokyo-based analyst at TIW Inc. The impact on the automaker’s stock price will be limited, he said.
Shares Fall
There have been no reports of accidents because of the faults, the Toyota said.
Shares in Toyota fell 1.9 percent to close at 3,400 yen in Tokyo. The stock has gained 5.6 percent so far this year.
Today’s recall is the company’s biggest since Oct. 21, when it said 1.53 million cars had brake-related problems that may cause fluid leaks. Defects linked to unintended acceleration led to recalls totaling more than 8 million units that began in September 2009.
“Compared with last year, consumers are responding less to Toyota’s continued recalls,” said Tadashi Usui, a Tokyo-based analyst at Moody’s K.K. “But it’s still questionable whether Toyota will fully regain its reputation for quality.”
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