The Market Should Decide Toyota’s Fate
Nicolas Loris /
Toyota’s Chief Executive Officer Akio Toyoda testified yesterday about safety and quality control after his company recalled 8.5 million cars and trucks worldwide – 6 million in the United States. A deeply remorseful Toyoda feared the company may have been growing too quickly and outlined how the company would move forward with the recall.
Earlier testimony included an anecdote from Lexus owner Rhonda Smith, who avoided catastrophe after her vehicle unexpectedly sped to 100 miles per hour, but she managed to eventually pull over. Smith berated Toyota and the National Highway Traffic Safety Administration (NHTSA) saying, “Shame on you, Toyota, for being so greedy, and shame on you, NHTSA, for not doing your job.” Transportation Secretary Ray Lahood questioned whether or not the regulators have the proper expertise to monitor and identify any electronic problems. Chairman of the House of Representatives Energy and Commerce Committee said the solution will “require legislation.” To add to Toyota’s problems, a federal grand jury in New York and the Securities and Exchange Commission issued a subpoena to Toyota in order to “produce certain documents related to unintended acceleration of Toyota vehicles and the braking system of the Prius.”