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Japan carmakers vouch for safety of some Kobe Steel parts

TOKYO — Four Japanese automakers on Thursday said they found no safety issues with aluminum parts supplied by Kobe Steel Ltd, allaying some concerns that falsified quality data on products from the steelmaker had compromised their vehicles. Kobe Steel shares surged after the car makers' statements, but the steelmaker still has to contend with a U.S. Justice Department probe, while checks continue at hundreds of companies involved in complex supply chains spanning the globe. Japan's third-biggest steelmaker admitted earlier this month it falsified specifications on the strength and durability of aluminum, copper and steel products, along with materials for optical disks. The falsifications stretch back for more than 10 years, a senior executive told Reuters this week. Since then, global automakers, aircraft companies and other manufacturers have scrambled to identify potential hazards in their products. Toyota, Honda, Nissan and Mazda said that hoods and other exterior parts used in their cars which were made from aluminum directly supplied by Kobe Steel were safe. Kobe Steel shares ended the day nearly 7 percent higher but are still down by more than a third since it announced the data falsification. Automakers are still making checks on other parts, including those that they received through their parts suppliers. "We confirmed that the materials satisfy applicable statutory standards, and our own internal standard, for key safety and durability requirements for vehicles," Toyota said in a statement. Toyota, one of the world's largest automakers, identified aluminum plates supplied by Kobe Steel for the hoods and rear hatches of Toyota and Lexus brand vehicles. Though outside the automaker's specifications, they were still safe to use. While Subaru and other carmakers said they were still investigating the issue, the announcements by Toyota, Honda, Nissan and Mazda suggest that Kobe Steel's cheating scandal may have a limited impact on product safety."SERIOUS SITUATION" Nonetheless, the company's fate hangs in the balance while checks are being carried out. It must report to Japan's industry ministry by around the end of next week on any safety concerns and provide a more extensive account of the problems a fortnight later. Industry leaders have reached a consensus that Kobe Steel is in a "serious situation," a senior Japanese manufacturing executive told Reuters.

2.1 million vehicles recalled again over faulty airbags

Fiat Chrysler Automobiles, Honda and Toyota will recall 2.1 million vehicles to fix faulty airbag modules "after the manufacturers' original attempts to fix the defects proved ineffective in some vehicles." These vehicles had all previously been recalled, but the National Highway Traffic Safety Administration found that the airbags could still potentially malfunction. This recall will cover Acura MDX, Dodge Viper, Jeep Grand Cherokee, Honda Odyssey, Pontiac Vibe, Toyota Corolla, Toyota Matrix and Toyota Avalon models made in the early 2000s. NHTSA has reportedly received about 40 reports of airbag deployment in such vehicles, even though the vehicle had not been involved in a crash. Roughly one million of these same vehicles, all from Honda and Toyota, are also subject to recalls due to faulty Takata airbag modules, though this particular recall is for "an electronic component manufactured by TRW" that is separate from the actual airbags from Takata. According to NHTSA Administrator Mark Rosekind: "This is unfortunately a complicated issue for consumers, who may have to return to their dealer more than once. But this is an urgent safety issue, and all consumers with vehicles covered by the previous recalls should have that remedy installed. Even though it's a temporary solution until the new remedy is available, they and their families will be safer if they take the time to learn if their vehicle is covered and follow their manufacturers' instructions. A hassle is much better than a family tragedy." If you're the owner of an affected car, expect to hear more from the official automaker and government channels in short order. In the meantime, we'd suggest getting your car checked and fixed at your local dealer. The official statement and recall information can be found below. Previously Recalled Vehicle Remedies Not Working as Designed; NHTSA Announces Follow up Recall of 2.12 Million Cars and SUVs Saturday, January 31, 2015 Contact: Gordon Trowbridge, 202-366-9550, Public.Affairs@dot.gov WASHINGTON – U.S. Transportation Secretary Anthony Foxx announced today the recall of more than 2.12 million Acura, Dodge, Jeep, Honda, Pontiac, and Toyota vehicles for a defect that may cause airbags to deploy inadvertently. The recalls will provide vehicle owners with a new remedy after the manufacturers' original attempts to fix the defects proved ineffective in some vehicles.

Illinois’ pro-union stance kills bid for Toyota-Mazda plant, report says

Mazda and Toyota are fielding bids from states eager to land its new prize: an all-new $1.6 billion U.S. plant where the Japanese automakers would jointly build electric vehicles and employ around 4,000 workers. Now we can apparently scratch Illinois off the list of contenders. According to Automotive News, the Land of Lincoln has been disqualified due to a lack of shovel-ready sites and the state's lack of a right-to-work law curtailing union membership. Mark Peterson, the president and CEO of economic development agency Intersect Illinois, told the publication he's been informed Illinois is not among the three or four finalists for the facility. It's believed those finalists are all in the South. Peterson said that "many national site consultants charged with making recommendations for corporate relocations and expansions will not even consider a state that is not a right-to-work state. In this case, the three states I am told are still in the running are all right-to-work states." The Midwest may be the ancestral home of U.S. automotive manufacturing, but the South has made major inroads in recent decades, with the likes of Honda, Mercedes-Benz, Nissan and Toyota all opening plants there, among others, thanks to lucrative tax incentives and the absence of labor unions. Recent years have also seen so-called right-to-work laws, which prohibit union dues and membership as a condition of employment in organized workplaces, spread to traditional labor strongholds such as Michigan and Wisconsin. The new joint venture plant, which would start operating in 2021, would be capable of producing 300,000 vehicles a year, with production divided between the two automakers. Mazda and Toyota would also take small stakes in one another as part of the deal. It's expected that at least 15 states have submitted proposals to attract the plant. Expect the Illinois news to trigger a new round of debate over the role of organized labor in the modern economy.Related Video: Image Credit: Reuters Green Plants/Manufacturing Mazda Toyota