Daihatsu, a subsidiary of Japanese automaker Toyota Motor Corp., has temporarily halted production across all four of its facilities in Japan as officials from the transport ministry conduct an investigation into irregular safety certification tests.
This production stoppage, effective as of Tuesday, follows Daihatsu Motor Co.’s announcement last week regarding the suspension of all vehicle shipments, both domestic and international, due to the discovery of improper testing practices involving 64 models. In response to these findings, transport ministry officials initiated a comprehensive inquiry into issues that appear to have persisted for several decades.
The shutdown is anticipated to impact numerous auto parts manufacturers and their workforce, posing a potential setback to local economies. The safety test irregularities, first identified earlier this year, prompted an independent panel investigation that revealed systemic problems at Daihatsu. This incident adds to a series of safety and compliance violations discovered at several major Japanese automakers in recent years.
Despite the irregularities in safety tests, there have been no reported accidents or fatalities attributed to the falsified testing data.
Daihatsu, renowned for manufacturing Hijet trucks, vans, and Mira hatchbacks, commenced the shutdown process on certain production lines on Monday. All manufacturing activities across its four plants located in Shiga, Kyoto, and Oita prefectures, as well as at the company’s headquarters in Osaka, came to a halt on Tuesday. While the company has not specified when production will resume, media reports suggest that the suspension may extend at least through January.
Daihatsu, specializing in small cars and trucks popular in Japan, is a unit of Toyota and produced approximately 870,000 vehicles across its four plants in the fiscal year 2022.
According to market research firm Teikoku Databank, Daihatsu’s factories are connected to 8,136 companies throughout Japan, with total sales amounting to 2.2 trillion yen ($15.53 billion).
The identified problems encompassed 64 models and three vehicle engines, including 22 models and an engine affiliated with Toyota. Additionally, these issues impacted certain models from Mazda Motor Corp. and Subaru Corp. sold domestically, as well as Toyota and Daihatsu models sold internationally.
Daihatsu’s internal investigation uncovered 174 new instances of irregularities in safety tests and other procedures across 25 test categories, building on the previously reported problems. The discrepancies initially emerged in April when Daihatsu disclosed improper testing on door linings. Subsequent issues related to side collision testing came to light in May, revealing data falsifications and the use of unauthorized testing procedures.
Addressing the media last week, Daihatsu President Soichiro Okudaira acknowledged the wrongdoing in safety testing and procedures, attributing the lapses to the pressure placed on workers to meet stringent development deadlines. He characterized these actions as tantamount to neglecting safety certificates.