There’s something inherently sleazy and suspicious about an WH administration mouthpiece that unequivocally states that Toyota owners should simply “stop driving” their cars until they’ve taken them to a dealership. In the wake of such an unprecedented fear mongering campaign, the mud slinging began, and within days, Transportation Sec’y Ray LaHood, was softening his harsh blow.
But “just words” matter, and one of the nation’s most popular vehicle manufacturers saw their shares fall as much as 8% on the heels of LaHood’s explosive remarks. Obama’s pet, Goldman Sachs, downgraded Toyota from a “buy” to “neutral”. If you use AutoBlog’s figures, it’s 16.7 % over the past five days.
But the Chicago thuggery style of this WH is abundantly clear when LaHood also revealed that the reason Toyota halted manufacturing and commenced the massive recall was at the insistence of the Obama administration.
Much seems to be overblown considering that the gas pedal sticking has occurred in fewer than 300 vehicles. Or, per an IBD op-ed, “Out of 1.8 million cars manufactured each year in the U.S., Toyota has 100 complaints, a handful of injuries, and in two cases deaths are alleged.”
In fact, the sudden acceleration events in both Toyota and Lexus models in the past decade resulted in 815 crashes since 1999… eleven years, averaged out at 74 annual events. Two resulted in fatalities. Of the 2000 complaints received in the same time, only five percent – or 100 of them – were attributed to gas pedals potentially sticking.
What’s more, NHTSA has conducted eight investigations into Toyota accelerator problems in the last seven years. None have been found to be a faulty sticking pedal as the cause.
“The way the sudden-acceleration problems are occurring in reported incidents doesn’t comport with how this sticky pedal is described,” said Sean Kane, president of Safety Research & Strategies, a Rehoboth, Mass., auto safety consulting firm. “We know this recall is a red herring.”
And that “red herring”, forcefully imposed by a WH administration, has further economic repercussions. Economic Journal Policy blog states:
Toyota insiders tell me that the only solution at this time to correct the “problem” identified by the Transportation Department would cost $2,000 per car. There are 1.8 million vehicles that are subject to the recall.
MSNBC further reports that three car rental companies are pulling the Toyotas from their fleets. And in a time where car sales aren’t that hot anyway, Toyota needed a new push coming off their first year of showing losses in the US market.
The timing of the recall and production suspension could not be worse for Toyota. Two years ago, the company beat out General Motors Co. to become the world’s largest automaker. Now just weeks into 2010, it is stopping some sales in its biggest market, the U.S., at a time when it desperately needs to sell cars here after reporting its first-ever annual loss last year.
While a problem certainly exists, and does need to be addressed, it’s foolhardy to spend vast money on what may not actually be curing the ailment. Also discussed has possibly been software. It might also be prudent to remind drivers… apparently who’ve never driven stick shifts, that if your gas pedal sticks, you might want to consider shifting into neutral to slow the vehicle instead of pitting brakes against acceleration… as many of those with harrowing experiences attempted to do.
Nor is LaHood of the mind to back off of the manufacturer, stating he was going to …have a conversation with (President Akio) Toyoda very soon, to talk to him about how serious this is, and to make sure he understands. We’re not finished with Toyota.“
There’s a distinct odor eminating in all this… as in just why this relatively low number of auto accidents and/or incidents over a problem that’s been occurring off and on for over a decade, warrants such a charge from the very halls of the White House. And I’m not alone in noticing this overt WOT against what is, in essence, a competitor for General Motors.
Indicative of this unholy connection is the MSNBC’s article, excerpted above. The immediate paragraphs following the “worst timing” comment above was all about GM, racing to save the day, and zero interest rates. In fact, the way it reads, GM should have been paying for advertising space.
General Motors is offering interest-free loans and other incentives to Toyota owners who may want to get rid of their cars due to fears about faulty gas pedals.
GM General Manager of Retail Sales Steve Hill said Wednesday the company is responding to thousands of inquiries from Toyota owners.
The Detroit automaker is offering offer zero percent financing for 60 months on most models. It also will offer $1,000 to Toyota owners toward a down payment on a GM vehicle and up to $1,000 to help to pay off current leases early. The offers run through the end of February.
Hummmm… what was that about letting no crisis go to waste? Or, perhaps better put, create the crisis needed to fit the bill.
The Autoblog also points out the suspicious timing.
To paraphrase L.A. Confidential’s Captain Dudley Smith, we wouldn’t trade places with Toyota right now for all the whiskey in Ireland. Still, we find the timing of Secretary LaHood’s comments a little odd. Here’s what we mean: the NHTSA official that flew to Japan to verbally beat on Toyota did so in December. And while Toyota seems to have behaved badly at first, the company has found an unobjectionable solution [Mata Musing: a throttle fix instead of gas pedal] (according to the safety agency) to its gas pedal problem. So, why whip on ’em today? Could it have something to do with next week’s Congressional inquiry scheduled to begin on February 10? We’d wager yes.
AutoBlog’s suspicions seem to indicate that it’s actually NHTSA, not Toyota, who’s going on the House Oversight and Government Reform Committee’s hotseat. As mentioned above, there’s been ample investigations into sudden acceleration by the agency… none of which concluded sticky gas pedals. This precedes Henry Waxman’s witchhunt, scheduled Feb 25th, to investigate not only Toyota, but it’s suggested incestuous relationship with NHTSA via Christopher Santucci… a former NHTSA employee who bolted from the agency to Toyota about the same time the investigations were being conducted.
The overview presents a determined WH and Congress, out to destroy a Japanese successful manufacturer… one who, oddly enough, provides cars “built in America”, and by American employees. But then, this is a WH and Congress who reigned over decisions to become owners of car manufacturers.
It’s difficult enough to impose regulations impartially when you are actually a competitor. But this adminstration has taken a step beyond that… setting out to economically destroy a very popular and highly dependable line of vehicles, as well as the jobs they contribute to the American economy.
But at least the WOT acronym is back…. and the new war is on Toyota, with GM cast as the prevailing hero.
Vietnam era Navy wife, indy/conservative, and an official California escapee now residing as a red speck in the sea of Oregon blue.
THANK YOU for posting this! Keep up the great work!!!
Common Cents
http://www.commoncts.blogspot.com
ps. Link Exchange???
It won’t matter to me. I bought my last GM car – ever.
Over 30 years of straight GM autos or trucks, but I will be damned before I step foot in Obama Motors.
Help the unions and the liberals? No thanks.
Hello Toyota
I drove two Toyota trucks into the ground during the 70’s. They were dang good vehicles. I might buy another one real soon.
General Motors, no thanks, although the ’37 through ’41 models appeal to me, as long as I don’t have to buy any factory parts. I don’t think there is any danger of that. Let those Union members buy those GM cars, they can give each other real good deals, after all they own the company, Premier Obama gave it to them with our money! Like a dog chasing its tail.
I do not recall our gov. ever getting involved when other car manufactuers have had to recall cars. There were no congressional investigations.
This is protectionism or some other political ploy going on with the Japanese gov.
Last week there were calls in Japan for Americans to get out. Maybe the Japanese want us to give up our bases over there.
Before I bought my Prius in 2007, I had a Buick LeSabre. Both are/were good cars. I would have bought another LeSabre but they quit that model and I didn’t care for the replacement.
I’ve also made the decision to never buy another GM or Chrysler product. I will give my business to those manufacturers that are capable of actually competing. Government ownership of any business, partial or otherwise is a formula for disaster and simply un-American. However, if your goal is to fundamentally change America where the state controls the means of production, then I guess you’ll keep on buying GM. Maybe they should redo their name plate to a Sickle and Hammer.
Skookum…. I can understand the appeal a ’37 thru ’41 GM might have for you. I still have found memories of my ’69 Judge GTO, not only for the action under the hood but the action in the back seat. Small as it was!
I own a Cadillac CTS, purchased pre-Government Motors. I was considering another one, as it’s a great vehicle. But, there comes a time when you have to put aside your own preferences and make the choice for your country. I think the Infiniti GX37 might be the ticket. And when it comes time to replace my Chevy Tahoe, for sure it won’t be with another one.
Remember the book Debt of Honor by Tom Clancy?
In it, a feckless Administration uses a problem in a Japanese car to create an International incident in order to further their political ends and to prop up a failing domestic auto industry.
Sound familiar?
It ends badly in the book.
Cheers,
knewshound
THIS IS ONE WAY TO ELIMINATE THE COMPETION!!! POWER POLITICS BY OBAMA’S THUGS
Japan can hire a few Ninjas to take care of the problems.
Exactly, This is Chicago gone national/international.
Isn’t fascism great?
My bet is that the Unions are behind this
Donald, I had no idea you were a back seat gymnast! How exciting! In a GTO no less, I just looked at those in awe as I drove my 52 Ford half ton, no back seat and not very fast with that six cylinder; but I would like to have one today! The old pick ups are cool especially if you rig up Independent front and rear suspension, corvette drive train, custom leather interior and a huge V8 with air. Now, I could enjoy that ride! Oh, electric wipers would be cool also.
@Skook
I had a ’49 Dodge Power Wagon once… didn’t go very fast, had fenders so thick you could drop a sledge hammer on one and dent the sledge. Slow as it was, the damn thing could climb trees. They don’t make ’em like they used to anymore. Of course gas isn’t 25 cents a gallon anymore either.
I’m waiting for a Tesla Motors electric car that will do 0-60 in 3.5 seconds and top out at 200 MPH and at my age… no back seat required…
Picked up something that’s the height of irony via Free Republic. A Jan 27th article on a planned UAW protest outside the beltway Japanese embassy, protesting the shut down of the New United Motors Manufacturing assembly plant in Fremont, CA.
So let me get this straight… the UAW, who has no love for Toyota anyway, is calling the manufacturer a “danger to America” for closing a plant shared with Obama’s GM? And now the WH is hot on the economic destruction of Toyota in order to throw more biz to GM?
One would think that, if the UAW wants to demonstrate a modicum of consistency INRE jobs (union or not), they would be protesting the WH pressuring Toyota to halt production.
Mata @17
In Northern California, the local Chevron refinery in Richmond has been hounded by the local crazys for years – basically for pollution. They thought they would drive out Chevron and take over the property. It sits right on the Bay.
Chevron, it appears, has out flanked them and is selling the production machinery to China, closing the plant with all of it’s high paying union jobs.
However, they plan to keep the land and just store oil on the property.
The local union nuts will be going crazy.
I just love it. I feel bad for the locals who will now be sitting out with the other 11%, but they should have pushed back.
I’d drive a Toyota before I drove another GM.
Hmmm, American manufactures have never been investigated and ordered to recall any vehicles? Your joking right.. Or is that more of the GOP amnesia of previous events? No one was crying foul when Ford was ordered to recall the Firestone tires were they? There are many other instances where the Feds were involved in the recall of the Big 3 products.(Pinto,GM Side Saddle gas tanks) Toyota makes a product that has caused loss of life and injuries they should be investigated! I know you GOP conspiracy nuts love to decry everything made by unions but if Toyota has a vehicle that is unsafe the public should be aware of it and Toyota should do what it required to insure no one else is hurt. The whats good for Wallstreet is good for Mainstreet mantra should have no bearing as to the Fed getting involved in Toyota recalling vehicles. It doesn’t take a rocket scientist to know there are going to be times when this ideology is going to be at odds with each other.
@Greg:
Of course defects need correcting. However jumping the gun without finding what genuinely is the problem (software? throttle? pedal? or something different in each instance) is absurd. In the meantime, NHTSA did issue a bulletin, and advised drivers to shift into neutral in case it happened. Something anyone with a modicum of common sense would figure out. Reading about some of the cases, apparently common sense is a dying art in this nation.
If you read the complete post, you would have learned that the sudden acceleration problem has around for a decade, and in the 80s was a common flaw in Audis. Nor is this a problem confined to Toyotas.
Toyota’s specifics have been investigated by NHTSA eight times already. This is not a new, out of the blue problem. Nor is it a prevailing problem. There are two possible fatalities, and somewhere between 100-300 complaints. I’d say sending Obama’s goon squad cabinet members out to scare the public is severely exaggerated. Especially when you remember that NHTSA’s FARS report has traffic fatalities at over 34,000 for the year of 2008. Sounds to me like it’s more dangerous driving cars that aren’t on recall, eh?
And why, if other models also have the same problem yet specific investigations come up empty handed technically, are they only zero’ing in on Toyota? Doesn’t take a rocket scientist to figure that one out. A skill you’ve demonstrated you lack, BTW.
Lastly, the Firestone/Ford recall was instigated by results of a NHTSA investigation. This involved approx 1,400 complaints, 88 deaths and more than 250 injuries, per this university article. NHTSA says 119 deaths in this publication. CNN Money says 62.
Any of those numbers are a far cry from two fatalites and 100-300 complaints, and most certainly does not warrant a fear mongering campaign eminating from Obama cabinet appointees.
Which brings me to the next fact – at no time did Clinton’s WH Transportation Secretary, Rodney Slater, publicly go on the assault as LaHood is doing today. Per US Code statute, the Transportation Secretary is to inform and interface with the manufacturer INRE safety defects that are out of compliance, and supply the research and studies used to form the basis that decision. I say again… remember the eight investigations by NHTSA already that are inconclusive? They may also call for hearings.
However NOT part of their job is a public fear campaign waged against the manufacturer… nor threats. This was done in the manner of Chicago thuggery, and highly outside the normal procedures by statute and previous recalls.
Now I know you prozac laden brain dead POTUS worshippers have a hard time when anyone points out the overbearing, anti-capitalistic posture of this admin… not to mention their sheer inefficiency… but it doesn’t take a rocket scientist to see there are methods in place for recalls. And starting public panics – especially over two fatalities and a few hundred complaints – isn’t one of them.
@Tom in CA: a friend and I were discussing the Richmond plant closing a few days ago. There’s another pile of jobs down the drain… and oh, BTW, a shut down of a much needed refinery. It’s not like we have an overabundance of them.
Another take on the same angle from Terence Corcoran at the National Post.
Of course Toyota is “scrambling”… they have the full power of the WH descend on their heads….
Too bad Toyotas aren’t manufactured in Las Vegas by Tea Party members. Obama could have been workin’ a trifecta.
*MataHarley
So Toyota acceleration is UrbanMyth? The number I have seen where much higher than 2 deaths and 200-300 complaints.
Most of the #’s Ive seen quoted were much higher.. 19 deaths 1000+ complaints since 2001.
http://www.claimsjournal.com/news/national/2009/11/09/105173.htm
That looks pretty on par with the numbers you quoted on the Firestone tire recall.
The conspiracy nuts can think whatever they want. But I’m pretty sure Toyota employs many American works also. I have a hard time buying into that NHTSA only wants to hurt Toyota because of the bailouts to GM and Chrysler at the expense of their American workers. Sorry don’t buy it! Wasn’t Bush president when the Ford recall occurred? So using your logic that must be why they recalled Firestone tires.
Reading most of the comments on this site pretty obvious that the conservatives would like to turn every event regardless of how insignificant or tragic into a political issue to try and score some points with their constituents. I prefer to think just doing the right thing..well is sometimes the right thing to do. No Rocket Science involved.. 🙂
Quite the extremist, Greg. Did I say the SUA is “an urban myth”? No… save only in your imagination. If you bothered to check out the research of the investigations, or any of the hotlinks provided both in my post above, plus@my ensuing comment, you’d learn that not all of the accidents or fatalities pointed to the same cause.
You’d also learn that the SUA problem has been around first since the 80s, and randomly since then thru a variety of models that also includes Ford, GM and Volkswagen.
Interesting they only go after Toyota, yes?
No, it is not “on a par” with the Ford/Firestone recall. 1600 crashes and 80-119 fatalities over a matter of a couple of years is a far cry from the small number spread out over a decade. The Reuters article in the LA Times specifically states:
So, by a newspaper reporter’s account, instead of NHTSA records, you blindly attribute 19 deaths where it “may” have been a factor, and tell me that’s fact? I see that investigation of truth is optional for you, and trusting the LA Times reporter’s research over a few days is more credible than NHTSA’s formal data gathering. Pathetic.
So even if we took your pie in the sky source data correctly, even unsubstantiated, that’s what… 3-4 deaths per year?
What is it with progressives and their math problems, anyway??
And no.. it was the last year of Clinton during the Ford/Firestone recall. The hearings were called for by Bush’s Transportation Sec’y after he assumed office in 2001… as is part of the Sec’s tasks.
You obviously have reading comprehension problems. NHTSA, the DOT watchdog, is also on the hot seat via the Congressional hearings. Congress is now going to be questioning their eight investigations about the misc reasons for the wide spread SUA that happens across many manufacturer models. According to your link itself, six of those were dismissed without finding any discernable defects.
Nor was it NHTSA out there, fear mongering the public. It was Obama’s Transportation Sec’y… and that is NOT his job. The statute does not define his job description including public panic and tanking market value. It states that NHTSA performs the investigations. If they show the defects, they and the Transportation Sec’y work with the manufacturer for corrections, using the results of the investigations as their basis.
What part about the eight investigations, six being dismissed, don’t you get? Let me put this in ebonics for you, Greg. The Trans Sec’y got up in front of the public, even after Toyota was cooperating, and blanketly blamed them for a defect that has not yet been substantiated by ANY conclusive investigative findings.
And you don’t find this curious? Not surprising. Too much prozac in your drinking water, I guess.
This is horrendous on many levels. The SUA problem is long term and ongoing. SUA research over a vast amount of models/manufacturers has been attributed to many possibilities… from throttles, pedal defects, floor mats not anchored or software interface.
The reality remains the same. The complaint and fatality count is low over the time span, and the solution is quite simple… shift into neutral. The Obama appointee stepped high above precedent to attack a manuf in public, and start a fear mongering campaign… all without substantive investigative reports.
Coincidently, the troubled Gov’t Motors/GM is stepping up to the plate with special financing and discounts. That would be Obama Motors… Toyota’s competitor.
Conspiracy? Nope… that’s called reality.
Mata,
The sudden acceleration in Audis was proven to be false by the NHTSA. The drivers were quite literally stepping on the accelerator and not the brake. (The woman who first brought the lawsuit because she crushed her two-year old child in their garage originally admitted to the investigating police officer that she accidentally stepped on the gas pedal – then she had a change of heart and decided to sue Audi). The two pedals were close together for heel-toe driving – more commonly taught/practiced by enthusiasts. I was able to pick up one of the so-called sudden acceleration Audi 5000’s after the whole episode (which almost killed Audi in the USA – mostly from the airing of the false 60 Minutes show and then a second airing after 60 Minutes knew they were wrong). Anyway, the 5000 I picked up was one of the best cars I have ever owned….and it only accelerated when I stepped on the gas pedal.
I have driven Toyotas for about 30 years now, and I would buy another in a moment if I were in the market for a car. The attach by The Won is the best endorsement I can think of for Toyota. It is solid proof that they are doing things right and therefore are a threat to his dishonest, thug operated administration.
Toyota makes excellent automobiles. Do not let anyone tell you otherwise, least of all the notorious liar currently in the White House.
Disclaimer: Now comfortably past retirement age, after having tried a number of brands through the years, I have settled exclusively into Toyota ownership for more than a decade. Reading this forum and talking to my friends about the latest goings-on, it has occurred to me that an online opinion survey is in order. One question with three parts,
Whom do you trust more,
1. The Obama administration, Toyota Motor Corporation, don’t trust either;
2. The U.S. Senate, Toyota Motor Corporation, don’t trust either;
3. The U.S. news media, Toyota Motor Corporation, don’t trust either?
Maybe I’m wrong, but I think that loyal Toyota customers like me are typical Americans and the survey results would reflect that fact.
I have been driving Toyotas for about 30+ years now with almost no trouble at all. I currently own two Toyotas that I expect to have for the rest of my life. Each has less than 100,000 miles on it, so it will almost certainly outlast me.
In answer to the opinion survey, I would pick Toyota Motor Corp on all three.
No matter what Toyota’s problems, I will still NEVER buy another GM or Chrysler product as long as the government owns a single share.
My mother owns a Toyota. My Father owns a Toyota. I have no fear of them.
Hell, not only will I drive a Toyota, I’ll go hunting with Dick Cheney.
I WILL NOT let the left scare me into living in unjustifiable fear.
One thing about the Toyota situation: Why has Congress ignored the parts suppliers and computer suppliers that operate in America that supply Toyota’s American side factories? Could it be a conflict of interest since many Congressmen are lobbied by the various Union groups, of whom do influence the parts vendors of Toyota…
Well Mr. Irons, it’s because this is about grandstanding while helping their union cronies. Doing the right thing? Protecting the people? How passe’. Power and control is everything when you are a dem.