Prius to be recalled in Japan: Report

TOKYO–Toyota said Sunday that it will soon announce plans to deal with braking problems in its top-selling Prius hybrid amid reports it has decided to issue a recall for the vehicle in Japan, a possible new embarrassment for the world's biggest automaker.

Toyota Motor Corp. has already had to recall more than 7 million other cars in Canada, the United States, Europe and China over a sticky accelerator and floor mats that can get caught in the gas pedal. Those problems and criticism of Toyota's response have sullied the reputation for quality long enjoyed by one of Japan's corporate icons.

Toyota plans to resume production Monday at the U.S. and Canadian factories that make the eight recalled models, including plants in Woodstock and Cambridge.

Separately, the company has told U.S. dealers it is preparing to repair the brakes on thousands of Prius vehicles there, according to an email sent by a company executive. It was unclear whether Toyota planned a formal U.S. recall.

"We will make an announcement soon on the action we plan to take," spokeswoman Ririko Takeuchi said, commenting on media reports Sunday that the company has decided to issue a Japan recall. Takeuchi did not confirm the reports.

A Toyota Canada spokesperson also refused to comment, referring a reporter to the company's website.

Toyota decided Saturday on a recall in Japan covering its latest Prius model and has notified domestic dealers, Japan's largest newspaper, the Yomiuri, reported without naming sources. Kyodo said Toyota had started notifying dealers and that at least 170,000 vehicles in Japan would be subject to the recall.

Phone calls to Japan's transport ministry went unanswered Sunday. None of about 10 Toyota dealers in Tokyo and the western Japanese city of Osaka said they had received any notification. Three dealers in the U.S. said the same thing Sunday.

Prius drivers in Japan, the U.S. and Canada have complained of a short delay before the antilock brakes kick in – a flaw Toyota says can be fixed with a software fix.

The brake problem affects about 270,000 Priuses that were sold in those three countries starting last May. The company says it has already fixed vehicles that went on sale since last month.

Bob Carter, a Toyota group vice-president, sent an email Friday to U.S. dealers saying the automaker is working on a Prius repair plan and will disclose more details this week. At least 100 Prius drivers in the U.S. have complained to the government that their brakes seemed to fail momentarily when they were driving on bumpy roads. The U.S. says the problem is suspected in four crashes and two injuries.

Public awareness of the problem "has prompted considerable customer concern, speculation, and media attention due to the significance of the Prius image," Carter said in the email. "We want to assure our dealers that we are moving rapidly to provide a solution for your existing customers.''

Toyota's response to the safety issues has drawn the attention of U.S. politicians. Toyota Motor North America chairman and CEO Yoshi Inaba will appear before the House Committee on Oversight and Government Reform Wednesday, the committee chairman said Sunday.

"There appears to be growing public concern regarding which Toyota vehicles may be problematic and how people should respond,'' said chairman Edolphus Towns, a New York Democrat.

Besides a full-fledged safety recall, the company could simply ask owners to bring in their vehicles for repairs, since the brakes are not failing completely. The Yomiuri newspaper, however, said that Toyota decided on the more serious step of a recall for the Prius to give priority to restoring consumer trust.

Toyota has acknowledged receiving dozens of complaints about the Prius in Japan, where there is government concern about the company's quality problems. Cabinet ministers have expressed alarm and urged the automaker to move more quickly to ease consumer worries.

Media criticism of Toyota has intensified since a news conference Friday by Toyota president Akio Toyoda in which he offered an apology for the defects, but few details about what the automaker would do about the Prius.

Meanwhile, Toyota's wilting reputation is beginning to hit the resale value of its vehicles. U.S. used-auto pricing service Kelley Blue Book said it is cutting its valuations by 1 to 2 per cent, or $200 (U.S.) to $500, for the Camry, Corolla and RAV4 models recalled in January.

Toronto Star