Shares of Toyota, Mazda, Honda and Suzuki fall after safety scandal

[Dr.Kamiya]

Shares of Toyota, Mazda, Honda, Suzuki fall after safety scandal | CNBC

New safety scandal just broke. This seems to affect the main Toyota company this time, not just their subsidiaries. Mazda and Toyota have halted sales of some models.

Shares of Japanese automakers have largely plunged since the country’s Transport Ministry found false data used to certify certain models a week ago on Monday.

The stock of Japan’s largest carmaker, Toyota, fell more than 5.4% last week, after the scandal broke on June 3, but is recovering on Monday. The automaker lost 2.45 trillion Japanese yen ($15.62 billion) in market value last week alone.

Shares of Mazda
, the country’s second-largest automaker, dropped 7.7% in the same period, and lost 80.33 billion yen in market capitalization last week.

The wide-ranging inspection by the Ministry of Land, Infrastructure, Transport and Tourism also found irregularities in certification applications by other automakers Honda, Suzuki and Yamaha.

Last week, Honda’
s stock fell 5.75% and Yamaha Motor
lost 2.2%, while Suzuki Motor
inched down 0.3%.

Japan auto safety scandal widens, Toyota halts some shipments | reuters.com

Toyota said its wrongdoing occurred during six different tests conducted in 2014, 2015, and 2020. Affected vehicles were three production models - the Corolla Fielder, Corolla Axio and Yaris Cross - and discontinued versions of four popular models, including one sold under the Lexus luxury brand.