Toyota and Honda recall 1,000’s of faulty cars costing £bn’s

Toyota is having to recall 1,000’s of cars which the company has estimated could cost £1.25bn in lost output and sales. There is an issue with the acceleration of cars and Toyota can’t take any risks so they are recalling around 8 models. Toyota is the worlds largest car maker and this looks like it may cause the company to cut it’s 2010 sales forecasts. This does not come as good news to an industry which has been in turmoil over the last 2 years.

Peugeot is also recalling some of their cars made with Toyota in Europe. They will be carrying out an identical campaign to Toyota to ensure that there is no uncontrolled acceleration. Honda is also recalling over 600,000 cars to fix a faulty switch that could set on fire. You could ask yourself what is going on here. Experienced manufacturers using the latest technology ought to have got it right first time. Just goes to show that the best companies in the world have to own up to their mistakes.

At Portfolio Display we want to hear some good news going on in the Automotive industry. Nissan are creating jobs at their Sunderland plant due to the success from their Qashqai model. This makes a change from the headlines usually shouting about job cuts.