WASHINGTON — In a dramatic display of political theatre, Toyota's elusive president appeared before a U.S. congressional committee on Wednesday and endured hours of humiliation from angry lawmakers. Akio Toyoda, the grandson of the founder and president of Toyota Motor Corporation, explained that the automaker's massive recalls were triggered because of "too quick" growth, leading to a situation where "priorities became confused."
Another top executive, Yoshimi Inaba, the president and CEO of Toyota Motor Sales U.S.A., said that "SWAT teams" were being put in place to respond to complaints of unintended acceleration within 24 hours of being reported.
The anger of U.S. lawmakers was fully on display, leading Rep. Mark Souder (R-Indiana) to comment that "we're having a hanging before the trial."
"(But) I'm not saying you're not guilty," he added.
The unprecedented dressing-down of the head of a foreign auto manufacturer on Capitol Hill was met with deference, remorse and politeness on the parts of Toyoda and Inaba, who sometimes begged off answering questions, saying they didn't understand the language.
Toyoda read his opening statement in English, saying he took "full responsibility" for the recalls and pledged: "You have my personal commitment that Toyota will work vigorously and unceasingly to restore the trust of our customers." But he answered lawmakers' questions in Japanese, which was translated by an interpreter seated next to him.
"This is indeed a very embarrassing day for NHTSA," said Rep. John Mica (R-Florida). "It's equally a very embarrassing day for Toyota to have the grandson of the founder to come before the United States Congress. I'm embarrassed for you, sir."
Mica also blasted Inaba for a July 6, 2009 internal Toyota memo with Inaba's name on it that bragged about saving $100 million by negotiating a limited vehicle recall. "I think you've done a great injustice, sir," Mica said. "This discredits everyone." Inaba insisted that he didn't write the memo and that it was given to him as part of "orientation material" from the automaker's Washington office.
Lawmakers clearly were in a punitive mood. "I hope you recognize what kind of payment for the injuries and the damages suffered by innocent American citizens (you will pay)," said Rep. Paul Kanjorski (D-Pennsylvania). "We had a great deal of faith for something stamped 'Made in Japan.' You injured that thought process in the American public and you will be called upon to pay compensation for that."
Few lawmakers defended Toyota. Rep. Geoff Davis (R-Kentucky), whose state is the site of Toyota's largest U.S. plant, railed against his fellow lawmakers, warning "careless words and unfounded allegation can do irreparable harm to job creation in Kentucky and the United States. The jobs created by Toyota are more important than ever."
Toyota builds the Camry and other models in Georgetown, Kentucky, outside Lexington.
For their part, Inaba and Toyoda defended the recalls and their reaction to them, although Toyoda insisted he only learned about problems with sudden acceleration in December 2009. "You weren't aware of serious acceleration problems until December 2009?" asked an incredulous Rep. Gerald Connolly (D-Virginia). "If it is correct, given your position in the company, that would constitute extraordinary compartmentalization." Some lawmakers traced the first reports of the problem to as early as 2001.
Toyoda insisted that the automaker has not been able to reproduce cases of unintended acceleration. Inaba said he has a "100 percent confidence level" in Toyota's electronic throttle control systems, which some critics have speculated may be at the heart of sudden acceleration.
Rep. Dennis Kucinich (D-Ohio) asked Toyoda if he had ever been advised not to discuss any defects in the electronic throttle control systems in Toyotas because "this would create a devastating financial liability."
"That has never happened," Toyoda responded.
One lawmaker, Delegate Eleanor Holmes Norton (D-District of Columbia), said she owns a Toyota Camry Hybrid and asked Toyoda: "Is there any chance that the Camry Hybrid will be recalled for any reason?"
Toyoda seemed to hedge his answer. "Right now, it is completely safe," he said. "Every day, as customers continue to use those vehicles, they may come up with new findings. Right now, it is 100 percent safe — at the moment."
She also took aim at Toyoda's official statement to Congress, which laid out priorities such as safety, quality and volume. "The fourth priority is secrecy," said Norton.
Inside Line says: Undoubtedly, the low point for Toyota in 50 years of operating in the U.S. — Anita Lienert, Correspondent
Add A Comment »
deadviper says:
04:30 PM, 02/25/2010
ZERO sympathy for these ass hats. Toyota knew what it was doing was wrong, did it any way, tried to cover up for itself when it got found out, and now it's ass is on the grill for it's own incopetence eff 'em.
And for those crying about an x-files style government conspiracy, y'all should know that gasoline fumes are dangerous and cause brain damage, even though huffing them is a lot of fun. Just sayin.
tbone85 says:
03:42 PM, 02/25/2010
Most of the ordinary Americans that I talk with and work with are decidedly NOT embarrassed by their country, their businesses, or their government. No one I know agrees with these institutions at all times, but I don't recall all the cries of bullying when Ford was being crucified for bad tires. Mr. Toyoda has appropriately taken responsibility for the errors in execution and communication. I take him at his word and expect that Toyota will return to preeminence in producing extremelly high quality cars. If he followed the path of the apologists and a few outright anti-American opinionists, he would have crushed their business in the U.S.
jeremy_c says:
01:05 PM, 02/25/2010
The San Diego police department did release their finding about the loaner Lexus ES crash accident in question. They found that a rubber floor mat for a SUV was used in the Lexus which caused the gas pedal to become stuck. In fact they found that a previous driver who had this same loaner omplained about his gas pedal getting caught and was able to stop the car by moving the transmission to neutral. He later moved the mat back and considered the problem fixed. This is the pivotal case everyone is flaming Toyota for but it seems to be the dealership's error, not a techncial issue with the pedal assembly? The parties with vested interest (Congress, UAW) and their media cronies are clearly sensationalizing the story to make it look like all Toyotas are dangerous. The gratifying part is that based on the web discussions I seen or ordinary Americans I talk to, people are not fooled. In fact most are embarassed that their country is bullying Toyota. Yes, Toyota is not flawless but the neither is making up bogus charges. Let the punishment fit the crime.
m89 says:
11:15 AM, 02/25/2010
I find it astonishing that people on here could defend Toyota's case. The issues here aren't the recalls themselves, but the fact that Toyota was slow to react to the issues at hand and was dishonest. The huge amount of people who have been injured and killed by their multiple defects are the results of greed, secrecy and dishonesty. Every automaker has recalls and they have them for good reason. It's when they avoid recalls, hide defects and act greedy and dishonest, does it become an issue.
By no means am I trying to defend the US Government. I just find it ridiculous that someone could defend a company like Toyota that has clearly reacted so poorly and dishonestly to serious product defects.
tbone85 says:
11:00 AM, 02/25/2010
"I bet very soon Japan will find a way to strike back like banning import of American beef or wheat and before you know it we have a trade war on our hands. "
Given the size of the U.S. trade deficit with Japan, the chances that Japan would initiate a trade war with us is extremely small.
tbone85 says:
10:55 AM, 02/25/2010
"I'm dead serious.... learn your world finance before you talk. USA currently owes the most to the Japan, then China and no. 3 Great Britian. Learn some English too... I said "owes"... present tense."
Perhaps you should learn your world history before you talk. What is the NPV of the investment that the U.S. made in rebuilding Japan after WWII? As far as learning English, the change in tense was intentional. Probably too much for you to grasp.
jason31480 says:
09:19 AM, 02/25/2010
NPR played an audio clip from this hearing. And I found a few things interesting:
1. A family member of that off-duty CHP officer who died from the accident in a Lexus, was present at the hearing and she was blaming on Toyota's "unintended acceleration" issue. I recall before that fatal accident, one of the victims made a 911 call and stated the accelerator pedal was stuck under the floor mat. I do feel sorry for the families who lost their love ones, but why this woman was invited to the hearing and blaming on the accelerator pedal defect?
2. The questions poped out by those congress members further proved that they are no different from the majority of medias. They all love the trollbait. It is a sad world.
juan_mx says:
08:51 AM, 02/25/2010
This is looking more and more like the US needed some leverage against Japan, and it is just taking the opportunity to get it.
The reason may be economical, the Yen is below 90 per dollar. It was 115 three years ago.
We'll see.....
jeremy_c says:
06:26 AM, 02/25/2010
I think the reason why this whole inquisition seems so unjust is that recalls has always been a part of American culture courtesy of GM, Ford and Chrysler. Now Toyota mess up and we are unleashing hell on them? It's like Eminem saying that swearing should be punishable by death, or Bill Clinton saying that all adulterers should be hanged or Amy Winehouse wanting to roast drug users... get the picture?
I don't think we have heard the end of this story yet. This will have repercussion. I bet very soon Japan will find a way to strike back like banning import of American beef or wheat and before you know it we have a trade war on our hands. That's going to tank the already weak economy.
trapperrotsap says:
06:09 AM, 02/25/2010
The lawmakers should all be kicked to the street. They are just upset becasue the Cash for Clunkers program that they set up did not sell many junk American cars. Most of the cars turned in were the junk the American car makers built.
Most of the lawmakers don't even drive a car let alone know where the brake and accelorator pedals are.
Wake up you guys and get with the program. Build relaiable cars that get great fuel mileage. 50 plus miles per gallon.