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Toyota to pay $17.35M federal fine for delayed Lexus RX recall

This summer, we brought you news that Lexus was recalling over 150,000 RX and RX hybrid crossovers tied to its massive pedal entrapment issue. An update to that story included word from the National Highway Traffic Safety Administration that it was considering launching a federal investigation into potential delays by the automaker in notifying owners about the problem. Now comes news that parent company Toyota will pay a hefty $17.35 million in fines for delaying its recall of the 2010 Lexus RX 350 and RX 450h. According to The Detroit News, the Japanese automaker is being forced to pay the maximum fine for delaying recalls - and this isn't the first time. In fact, this is the fourth time since 2010 that Toyota has been required to do so, including paying $48.8M in civil penalties in 2010 for failing to recall vehicles in a timely manner - in three separate campaigns.
In addition to the fines, Toyota has agreed to restructure the way it handles quality control and review "safety-related issues." Though the Japanese automaker has not admitted any wrongdoing, Toyota has agreed to meet with NHTSA for six months on the matter and may extend the meetings another six months.
US Transportation Secretary Ray LaHood says he is counting on Toyota to improve its ability to address such safety issues: "With today's announcement, I expect Toyota to rigorously reinforce its commitment to adhering to the United States safety regulations," he said in a statement.

Lexus NX will be produced in Canada

OTTAWA/MONTREAL — Toyota Motor Corp will build its Lexus NX luxury crossover vehicle at a Canadian plant starting in 2022, the company said on Monday, a decision that Prime Minister Justin Trudeau said demonstrated the value of the country's international trade agreements. The plant will invest hundreds of millions of dollars to produce the Lexus NX and its hybrid version at the factory in Cambridge, Ontario, "supplying the entire North American market," Trudeau said in a presentation with Fred Volf, president of Toyota's Canadian unit. Citing Canada's trade agreements with Mexico, the United States, Europe and Asia, Trudeau said: "We have preferential trade access to two-thirds of the global economy. In fact, we're the only G7 country that has free trade deals with every other G7 country." Trudeau, who faces a tough re-election contest in October, said the plans by Toyota, one of the world's largest carmakers, will help guarantee 8,000 jobs and the factory. The announcement is a "counter narrative" for Canada's automaking industry following recent bad news from other automakers, said Flavio Volpe, president of the Toronto-based Automotive Parts Manufacturers' Association, especially in the province of Ontario. Fiat Chrysler Automobiles NV said in March it would cut a shift at its Windsor assembly plant, leading to 1,500 job losses, and General Motors said last year it would shut its Oshawa factory by the end of 2019. Plans to assemble the NX in Canada "means that Toyota's Canadian manufacturing operations are here to stay," Volf said, adding that the cars are "the most technologically advanced and the most in-demand cars in the Toyota-Lexus global lineup." On Sunday, Trudeau hosted Japanese Prime Minister Shinzo Abe in Ottawa. Both touted the benefits of a Pacific trade deal that U.S. President Donald Trump walked away from. Trudeau said he had discussed the project to build the Lexus NX in Canada with Chief Executive Akio Toyoda on April 1. "When we last chatted just a few weeks ago, we discussed the potential of this new Lexus mandate," Trudeau said.

Next-gen Lexus RC will be a race car first

There has been one generation of the Lexus RC, the Japanese luxury maker's sports coupe meant to mix it with offerings like the Audi A5, BMW 4 Series, and Mercedes C-Class. Instead of doing that, it has hung back in the enthusiast consciousness with the Infiniti Q60, a car you remember — and remember is actually pretty good — when someone else brings it up. At least one exec at Toyota wants to change that for the next-gen RC, assuming we get one. David Wilson, president of Toyota Racing Development (TRD), spoke to Car and Driver at the recent 24 Hours of Daytona. C/D said Wilson "hinted" the coming RC will look at the Toyota Gazoo Racing GT3 concept revealed as last month's Tokyo Auto Salon for inspiration, the target being to create a better performing race car for global GT3 competitions, which will breed a better performing road car. "ItÂ’s fairly safe to connect the dots and suggest that [the GR GT3 concept] could be a precursor to the next global GT3 car for Lexus," he said.  As we wrote about the GR GT3 concept, Toyota believes it can provide more enjoyment for customers by commercializing race cars than by making customer cars racy. So instead of turning the next Lexus RC into a not exactly ripping IMSA and GT3 competitor, as it did with this one, the GT3 Concept could lead development of one or more Toyota Group race cars that, as required by GT3 homologation rules, become one or more road cars. Speaking to Motor1, Wilson and Lexus GM Andrew Gilleland affirmed the coming RC will be a racer first, Wilson saying, "Our Lexus RC F is a dynamite sports car, but I'll be candid and say that itÂ’s not a GT3 car. The current gen that weÂ’re racing right now was an afterthought to make it a GT3 car." That process gets reversed for the next coming, the president confiding to, "Before you put your first line on paper, you decide youÂ’re going to race that car and that shapes the design parameters, the performance parameters of that production car." Gazoo Racing said there'd be a prototype of the GT3 concept on track by the end of this year. We might learn then how Toyota and Lexus plan to push the sporty angle for track and road. As for when a new RC race or road car might debut, the TRD honcho would only say, "hopefully in a couple of years." Related video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.