Toyota shares slide as unit Daihatsu's safety scandal widens (updated)

Aisin

21/12/2023 02:18

(Adds details on vehicles recall and Aisin shares in paragraphs
6,7)
       TOKYO, Dec 21 (Reuters) - Toyota Motor's  7203.T  shares
fell more than 4% on Thursday after its small-car unit Daihatsu
Motor said a day earlier it would halt shipments of all of its
vehicles for an indefinite period after discovering more
safety-inspection irregularities.
    Daihatsu said that an independent committee had found issues
involving 64 models, including almost two dozen sold under
Toyota's brand. The panel had been investigating the unlisted
car maker after it said in April that it had rigged
side-collision safety tests carried out for 88,000 small cars.
    Japan's transport ministry is considering administrative
penalties against Daihatsu including revoking its production
certification depending on its own investigation, the Nikkei
business daily reported.
    Daihatsu said on Wednesday it did not know when it would
resume shipments, but that the impact on its earnings would be
substantial.
    Shares of Suzuki Motor  7269.T , Daihatsu's main rival in
Japan's minivehicle market, rose around 2%, while Tokyo's
benchmark  Nikkei average  .N225  was down 1.6% as of 0200 GMT.
    Separately, Toyota said on Wednesday that it would recall
1.12 million vehicles worldwide due to a fault as a short
circuit in a sensor could cause air bags not to deploy as
designed. The recall includes 1 million vehicles in the U.S.
    Shares in parts supplier Aisin Corp  7259.T , which
manufactured the air bags, were down around 3% in morning
trading.

 (Reporting by Kaori Kaneko and Anton Bridge; Editing by
Chang-Ran Kim and Muralikumar Anantharaman)
 ((kaori.kaneko@thomsonreuters.com;))