Danger Danger Mr. Toyota

Toyota is making some unprecedented moves in one of the most dangerous safety recalls affecting a large portion of their owners. Waking up to a news story several days ago surrounding the last words of a family’s 911 call as their Toyota vehicle began accelerating uncontrollably and ultimately smashing into an SUV and killing all four passengers onboard is a chilling revelation to exactly how bad the Toyota situation is. The original story was that in some vehicles the floor mats were catching the gas pedal and causing the drivers to lose control of the vehicles acceleration. That story seemed fishy at best - especially when reports started to roll in about the number of vehicles that were having the problem and not even using floor mats. As the story escalates, the problem seems to be reaching recording breaking, and brand reputation injuring, proportions.

In the latest move, in case you haven’t heard, not only is Toyota recalling millions of their vehicles, starting as far back as 2005, the company has now suspended sales of 8 of their most popular models. The effect, both short and long term, of this action will be devastating to the brand. Yesterday, Toyota announced that they would cease to sell their 2009-2010 RAV4s; 2009-2010 Corolla; 2009-2010 Matrix; 2005-2010 Avalon; certain 2007 -2010 Camry; 2010 Highlander; 2007-2010 Tundra; and 2008-2010 Sequoia. Yes, that doesn’t leave too many vehicles on the showroom for sale. The company reports that no Lexus or Scion models are affected, nor are the Prius, Tacoma, Sienna, Venza, Solara, Yaris, 4Runner, FJ Cruiser, Land Cruiser and all Camry hybrids (or the Camry’s still manufactured in Japan). In visiting a multi-million dollar Toyota facility on the east coast several days ago, to say that the concern internally in the store was tense would be a strong understatement. Notice the Avalons, Camrys, Tundras and Sequoias that have 2005, ‘06, ‘07 and ‘08 models affected. That will cause a huge dent in certified pre-owned and regular pre-owned inventory for dealers as well as independent dealers as well.

Not only has Toyota suspended the sales of many of most popular new and pre-owned models, they have also shut down the factories that build these vehicles starting February 1. Plants that are being closed are the Canadian plant where they make Corolla, Matrix and RAV4, The Indiana plant where they make Sequoia and Highlander, the Kentucky plant (Line 1) where they make the Camry and the Avalon, the Subaru of Indiana plant that also builds the Camry and the Texas plant where the Tundra is built. Notice that all the plants being closed are North American plants. There are no Japanese plants being affected, and therefore the vehicles that were built in those plants would assumably not be affected either. The Vehicle Identification Number (VIN) uniquely associated with each vehicles produced does indicate the country and plant of origin, so logic would deem that Toyota does know exactly what vehicles are endanger and which ones are not. It would also seem to indicate they have isolated what has caused the problem. If this is true, just why won’t Toyota make the issue know? Is it that big? Or is it that impossible to correct? My feeling is that very soon the revelation about what is killing people in Toyota’s will be released, and it will not be pretty.

This recall and problem is going to cost the brand that sold their soul to become the largest auto manufacturer in the world a lot of money.