WASHINGTON — Saying that "Toyota failed its customers and the government neglected its responsibilities," Rep. Henry Waxman (D-California) on Tuesday morning kicked off congressional hearings investigating Toyota's massive recalls.
Waxman said that "fundamental reforms are needed in Toyota's leadership."
The House Energy and Commerce subcommittee is looking into what it characterized as Toyota's flawed explanation about sudden unintended acceleration in Toyota and Lexus vehicles. Toyota has repeatedly said that electronic flaws did not cause the rapid, uncontrolled acceleration that some drivers are experiencing. But the hearings are looking at far more than the recalls and seem to call into question Toyota's future standing as a leading automaker. Rep. Bart Stupak (D-Michigan) declared that Toyota and the National Highway Traffic Safety Administration have "a lot of explaining to do."
The hearings promised to have an impact far beyond Toyota. Privately, other Asian automakers say they are worried that the Toyota recall hearings could result in protectionist measures against foreign automakers. Lawmakers seemed to address that concern. "The federal government has a vested interest in domestic manufacturers," said Rep. Phil Gingrey (R-Georgia). "It may have an interest in highlighting the flaws in competing manufacturers. We have to be cognizant of perception in a post-bailout world." He was referring to the 2009 federal government bailout of General Motors and Chrysler.
Lawmakers took a stern approach to Toyota, with Rep. Bobby Rush (D-Illinois) declaring that "Toyota is driving down the road to an inquiry by the Justice Department." But Rush had equally harsh words for NHTSA and its "apparent sluggishness in reinventing itself.
"NHTSA failed to assign an appropriate mixture of staff and resources to keep up with changes in auto design technology, especially computerization," he said, noting that vehicles thus had the chance to "become killing machines."
Many of the lawmakers, including Waxman, Rep. Edward Markey (D-Massachusetts) and Diana DeGette (D-Colorado), prefaced their opening remarks by saying they own Toyota vehicles. Delegate Donna Christensen (D-Virgin Islands), the owner of a Toyota Solara convertible, said that concerns about her daughters driving a Toyota RAV4 and Lexus RX 330 had given her "sleepless nights.
"It will take much more than your press releases and lobbying," she said to Toyota executives in attendance. "It's time to not rebuild your image, but to rebuild our trust."
Some lawmakers, such as Rep. Marsha Blackburn (R-Tennessee), worried that the recalls would result in "loss of paychecks," as Toyota grappled with declining sales. Rep. Michael Burgess (R-Texas) called the Toyota recalls a "battle between economics and safety." And Rep. Betty Sutton (D-Ohio) said: "Toyota's disappointing actions have resulted in the loss of sales. I am very concerned they will also result in the loss of jobs for workers who have done nothing through the fault of their own."
The hearings are raising more questions than answers at this point, with lawmakers promising that the road will be long and difficult before answers are found. "Is there data in these vehicles that is being withheld from the American public?" asked Rep. Bruce Braley (D-Iowa). "I'm talking about the black boxes that now provide countless amounts of data but are protected from public disclosure."
Inside Line says: Lots of questions as Toyota begins to explain itself on Capitol Hill. — Anita Lienert, Correspondent
Add A Comment »
tbone85 says:
08:11 PM, 02/24/2010
Atenza, Toyota is already spends more money lobbying the U.S. government than any other car company. They already know how to play the game. In fact, at the end we may find that Toyota's payments and the NHSTA looking the other way more often for them is at the core of the current crisis.
seriousekid says:
06:57 AM, 02/24/2010
"I think the media has made a sport out of sensationalizing something that is very common: a recall"
I read this comment in the morning on a newspaper and i completely agree with it.
jepontiac says:
09:17 PM, 02/23/2010
These congressional hearings aren't really about Toyota or safety or GM. It is about Congress responding to a public outcry. The media was all over this. If Congress didn't hold these hearings, people would say that the US is protecting Toyota and in their pockets. At least this way they get to look like they are doing something for American people, instead of trying to find new and creative ways to the pockets of the health insurance companies.
svt_man says:
07:01 PM, 02/23/2010
isend2c: There is more at question here than just the recalled pedals and floor mats. Plus, the only reason that the Toyota's in America got the recalled pedals is logistics ...
labrat7 says:
06:23 PM, 02/23/2010
What bothers me is the fact that my government officials are buying asian cars. If you are going to work for our government then you should support our American industries. Buy American!!
isend2c says:
06:18 PM, 02/23/2010
I may be wrong, but I was under the impression that all the Toyotas built in Japan (you know, in Asia) were not part of the recall, but the ones from the South (you know, in America) were. That tells me, personally, that it's the US who has cruddy quality products.
trapperrotsap says:
04:27 PM, 02/23/2010
"The federal government has a vested interest in domestic manufacturers," said Rep. Phil Gingrey (R-Georgia). "It may have an interest in highlighting the flaws in competing manufacturers. We have to be cognizant of perception in a post-bailout world."
It seems to me that this is really what these meetings are all about and not the safety of the driving public.
atenza94546 says:
04:27 PM, 02/23/2010
Wow, our law maker finally realize grilling Toyota will result in job loss. Here how to resolve it. U.S. Congress can just say oh Toyota we will forgive and forget as long as you pay us more monery for my re-election.
Wait, here another economical factor will Toyota pay more to lobby and to the politians in the future.
We are talking billions of dollar for the next two terms for these politians.