Toyota Motor Corp.'s top executive didn't grasp how the carmaker's record recalls hurt its reputation in the U.S. until after he traveled there in February, Transportation Secretary Ray LaHood said.
President Akio Toyoda "understood maybe for the first time that Toyota was facing some very, very serious credibility problems in the United States," following his visit in February, LaHood said on a conference call yesterday after visiting the company's headquarters in Toyota City, Japan.
Toyota, which in 2008 passed Detroit-based General Motors Co. to become the world's largest automaker, was assailed this year by U.S. lawmakers, regulators and safety advocates for responding too slowly to complaints of sudden acceleration in its vehicles. LaHood said on Feb. 2 that Toyota was being "safety deaf" as complaints from customers mounted.
Toyoda "has listened and he has paid attention," LaHood said.
The carmaker agreed on April 19 to pay a record $16.4 million fine levied by the U.S. National Highway Traffic Safety Administration for failing to promptly report flaws in accelerator pedals that led to recalls of more than 8 million vehicles worldwide.
U.S. regulators are now reviewing about 500,000 Toyota documents as they investigate defects that may have caused the unintended acceleration, and will need a "couple months" before determining the next course of action, LaHood said.
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