Takata balks on expanding US airbag recall. 'Disappointing,' regulators say.
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| Detroit/Tokyo
聽U.S. auto safety regulators said聽Takata聽Corp's response to an order to expand a recall nationwide was "disappointing," critising the Japanese auto parts supplier for shirking responsibility over its potentially deadly air bags.
Takata, at the center of a global recall of more than 16 million聽cars聽in the past six years, had until Tuesday to respond to the聽National Highway Traffic Safety Administration's (NHTSA) order to expand a regional recall and replace driver-side air bags from across the聽United States.
Takata聽has not made its response to NHTSA public, but a spokeswoman in聽Tokyo聽said the contents echoed a statement by the company's chief executive on Tuesday. In that statement, Shigehisa Takada left the decision for a nationwide recall up to automakers, and made no mention of whether聽Takata聽was admitting that its聽air bag inflators聽were defective, as ordered by NHTSA last week.
"Takata聽shares responsibility for keeping drivers safe, and we believe anything short of a national recall does not live up to that responsibility," NHTSA said in an email to Reuters. The regulator said it would review聽Takata's response to determine its next steps.
In ordering a nationwide recall last week, NHTSA said it could begin steps to fine聽Takata聽up to $7,000 per vehicle not recalled, as well as force a recall. The maximum penalty under current law is $35 million.
At least five deaths have been linked to聽Takata聽inflators, which can explode with excessive force and shoot shrapnel inside聽cars.聽Takata聽faces a criminal probe, more than 20 class action lawsuits, and congressional scrutiny over its inflators. The company supplies around a fifth of the world's air bags.
Japanese government聽officials have expressed concern that聽Takata's repeated recalls could dent the reputation of the country's auto industry. One official, who asked not to be named, said it would be "disastrous" for聽Takata聽not to comply with NHTSA's demand.
"MUST DO MORE"
In his statement released on Tuesday in the聽United States, Takada outlined steps aimed at demonstrating聽Takata's commitment to safety, including forming an independent panel to audit its manufacturing procedures.
Takata聽has recruited three former U.S. transportation secretaries to help it navigate the growing crisis.
Samuel K. Skinner, a former聽White House聽Chief of Staff and U.S. Transportation Secretary, will lead an independent quality panel, while聽Rodney Slater聽and聽Norman Mineta聽will advise聽Takata.
A report by the panel headed by Skinner on聽Takata's manufacturing processes will be made public, Takada said.
He said聽Takata聽would take "dramatic actions" to increase output of replacement air bag inflator kits, including working with rivals and examining whether their products can be used safely. "I know we can and must do more," he said.
CONGRESSIONAL HOT SEAT
Takata's announcement comes ahead of a second congressional hearing on Wednesday that will likely focus onTakata's response to NHTSA's order.
Hiroshi Shimizu,聽Takata's senior vice president for global quality assurance, said in prepared remarks that aphased-in聽recall should give priority to U.S. regions with higher humidity - believed to be a factor in some air bag ruptures.
Honda North America聽Executive Vice President聽Rick Schostek聽said in his testimony that a national recall would lead to parts shortages, but the Japanese automaker was "seriously considering" it for driver-side聽air bag inflators.
Toyota North America Vice President聽Abbas Saadat聽said in his testimony that the automaker wanted "additional assurances about the integrity and quality of聽Takata's manufacturing processes."
Toyota and Honda called on Tuesday for independent industry-wide tests of聽Takata聽air bag inflators聽subject to recalls. (Additional reporting by Mari Saito in聽Tokyo, Paul Lienert and Bernie Woodall in Detroit and Patrick Rucker in Washington; Editing by聽Karey Van Hall, Chizu Nomiyama, 海角大神 Plumb, Lisa Von Ahn and Ian Geoghegan)