Dirk Dickbutt

For once, someone gets it.


Toyota not looking so shiny now

Is the Toyota Motor Corp. juggernaut losing its conqueror-of-the-world mojo?

Because if it was a Detroit automaker that was recalling 4.26 million vehicles to repair accelerator problems, or if it was a Detroit automaker that had broken its historic no-plant-closings pledge, or if it was a Detroit automaker that had recalled more vehicles (2.38 million) in 2005 than it sold in the United States that year (2.26 million), the answer would be an emphatic yes.

The answer also would be yes if Toyota, an earnings powerhouse, suddenly stopped minting cash -- notwithstanding the three-month period ended Sept. 30 -- and was on track to lose billions more this year. The answer would be yes if its exponential market share gains suddenly slowed, or if its national rival, Honda Motor Co., kept delivering profits despite a global auto recession and its new South Korean rival, Hyundai-Kia, continued to grab precious U.S. market share.

News flash: The men running Toyota appear to be mortal. They overreach and make mistakes. Their vehicles are not flawless. Their engineers cut corners, at least in ways that garner the attention of the National Highway Traffic Administration. Their Camry no longer is the undisputed king of midsize cars, now that rivals Ford Motor Co. and even General Motors Co. are proving they can produce world-class metal, too.


This isn't new, either, suggesting that Toyota's troubles may be more of a developing pattern than a one-time aberration. Two years ago, before two-thirds of Detroit's automakers were tempered by the fires of bankruptcy, the editor of the ostensibly "Japanese-loving" Consumer Reports apologized to readers for recommending the problem-plagued Camry V-6.

He also said the magazine had decided new Toyota models could no longer be given the benefit of the doubt -- or its prized "recommended" label. And Toyota's V-8 powered Tundra four-wheel drive pickup was labeled "unreliable" by the magazine, the unofficial Bible to discerning car and truck buyers.

Two years before that, the global industry's gold standard for quality recalled more vehicles in the United States than it sold in the United States. There have been running customer complaints about sludge in its engines, and, more recently, growing federal skepticism over Toyota's response to the unintended acceleration probe.

'Grasping for salvation'
Infallible they aren't, as CEO Akio Toyoda, a scion of the founding family, conceded last month. Toyota, he said, is nearing "capitulation to irrelevance or death" and is "grasping for salvation." He also said the still cash-rich automaker has grown too arrogant on "the hubris born of success" and the "undisciplined pursuit of more."

Even adjusting for the Japanese cultural proclivity for excessive apology freighted with humility, those are stunning statements coming from a Toyota CEO. Considering that his name, save one letter, is on the proverbial building, the admissions are even more revealing.

Which means what, exactly?

That the Great Recession, the accelerant that pushed GM and Chrysler Group LLC into bankruptcy and fueled Ford's evident resurgence, also is rebalancing the automotive landscape in ways that seemed impossible just a few years ago.

Fresh from federally induced bankruptcy, GM's labor costs are competitive; its product portfolio is solid; its footprint in developing markets is impressive; and its debt load is enviably small, making it a potentially formidable competitor able to generate cash once the worst of the auto sales depression passes.

Ford arguably is building its best vehicles in a generation, if not a whole lot longer. The Blue Oval is booking monthly gains in its share of the U.S. market, an accomplishment seemingly reserved exclusively for Toyota not too long ago.

And Toyota's position as the undisputed quality leader and industry juggernaut clearly is in jeopardy. That's change you can believe in.

SPAWN

hmmm...interesting. I think they will hold up though...and im glad to see Ford is doing better (though never cared for them in the past , minus the trucks)

The Wok

"Accelerator problems" is more than a little misleading - the recall is for floormats and the vehicle/incident that spawned it had multiple, stacked floor mats in it.

I would also love to know what problems the Camry is "plagued" with - other than the VVTi hose on early examples, they really don't have many issues. The Tundra does have some problems with the air pumps, we seem to replace them fairly often (under warranty.)

And the old sludge problem. You only really see this on 1MZs (older V6s,) and the ones you do see it on tend to have a very thin service history. I don't recall ever seeing a desludge or sludge-related engine R&R on a car that had been properly maintained.

The newer stuff does have more little issues, for sure - lots of new stuff, after refining/perfecting the same engines/etc for 10+ years. Their recalls are also, to me, overzealous - we had steering link recalls recently (last couple of years) for trucks built in the mid-80s, re-coating frames of 15 year old trucks and of course "recalling" millions of Camrys/Avalons because people don't know how you're supposed to use floor mats.

Cyanide Jello

I'm loling at the fact they did another recall on their trucks for the frames rusting in half... Cheap ass foreign undercoat...

SH-IZZLE

But they now have us replacing accelerator pedal assemblys in some un-godly ammount of vehicals. Though I do agree the whole undercoating and steering linkage recalls are alittle excessive they show the company still strives for customer satisfaction. And I also would like to know what besides a very few small items is wrong with the tundra or camry. The dumb sunroof drain tube is the only problem I have seen on the camry. I cant honestly say I have never replaced a air pump on a tundra not saying it doesent happen. But I can only say what I have seen and after all the negatives about toyota I would still recomend them to anyone.

Cyanide Jello

I worked for Toyota once upon a time... I hated it... Checkin out (pre-delivery inspection) the new cars was pretty sweet though...

Tarzan Bakerada

My initial thought upon seeing the thread title was to be in before the wok posted. I lost

The Wok

You've replaced accelerators? I haven't seen that. Do they make the pedal shorter (height wise?)

SH-IZZLE

But what your not seeing about that is companys like gm,ford,dodge offer a 6 or 5 year anti corrosion warrenty. Now I may be wrong and maybe you could sue if in fact your frame were to break, but they brought this undercoating recall out regardless of your mileage. Again im not sure if they did that in fear of being sued if possiable or if it was due to customer satisfaction, Now I do know that 96-00 tacomas were being bought back due to rust holes in the frames. That may be another reason they did this undercoating thing. Im sure its alot cheaper to spray a frame then buy a truck lol.

SH-IZZLE

No not yet. But the floormat vehicals are the ones we will be doing. The recall came out tuesday I belive. I heard it over the radio so I spoke to my service manager and he confirmed it. He also stated something about floor pan modifications lol. Im kinda nervous about that one