Auto safety bill prompted by Toyota incidents is in doubt

Senate legislation that would create major new safety standards and increase fines for automakers in violation of federal rules is running into Republican opposition and may never be put to a vote. The most comprehensive overhaul of motor vehicle safety laws in a decade, which once seemed certain in the wake of Toyota’s sudden-acceleration problems, may never reach a vote in Congress.

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Ford Gains On Toyota In ‘Consumer Reports’ Survey

Ford Motor Company has risen almost to the top of an annual brand perception survey by Consumer Reports . The Detroit automaker is now just behind Toyota, after its years-long effort to improve quality coincided with devastating recalls by Toyota.
Read more on NPR

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Toyota Signals Shift on Plants

TOKYO—Toyota Motor Corp. has signaled it may relocate unprofitable manufacturing capacity overseas, a possible turning point for its longtime commitment to maintaining its production base in Japan.
Toyota President Akio Toyoda said his company will strive to keep its current manufacturing mix, but may move production capacity due to unfavorable foreign-exchange rates and other factors. "If we are simply unable to make a profit...we may be forced to move our production elsewhere," he said in a statement posted on the company's website on Friday.
Mr. Toyoda also said his company plans to begin implementing a more decentralized management structure globally. That effort to delegate more decisions to regional managers is part of a new corporate strategy to "not use the logic that Toyota has developed for Japan" for its overseas operations.
Mr. Toyoda said this was one of several measures planned as part of an effort that he dubbed "Toyota restart," an initiative by the company to cope with the fallout from a massive recall of a year ago. He designated the date of the "restart" as Feb. 24, a reference to the date that Mr. Toyoda appeared before a U.S. Congressional committee last year to testify about the recall of the company's cars.
The statement came in the form of a New Year's message ahead of the release of a long-term strategic plan in April called "20/20 Vision." It didn't provide details on any locations or specific factories.
Toyota typically has used exports from its factories in Japan to adjust to short-term changes in demand and supply abroad. That has become a more critical function for more of these facilities as the Japanese vehicle market has shrunk year-on-year for the past several years.
Mr. Toyoda's statement indicates this role may no longer be tenable as a result of the yen's rise close to all-time highs.
Japan's leading auto maker also produces all but one of its Lexus luxury vehicle models at its factories in Japan, which has crimped profit growth as the yen has appreciated rapidly over the past year.

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Routine Toyota Service in MA Available at Woburn Toyota

Car owners know that car maintenance is vital to keep a safe and reliable car.  While no one looks forward to it, Toyota owners turn to Woburn Toyota to help them with routine maintenance.  Toyota service in MA helps car owners keep up with scheduled maintenance, which can be prevent future breakdowns and accidents. 

The service center at Woburn Toyota is proud to serve Boston Toyota service customers with quality car maintenance and repairs and will help car owners keep up with routine maintenance. 

General car maintenance, such as routine oil changes, tire rotations, fluid flushes and filter replacements, are all affordable procedures that will keep all vehicles in their best shape and in ideal driving conditions.   

Some of these procedures can be done by car owners, such as filter replacements.  Car owners can purchase the correct filter for their vehicle at the part’s department at Woburn Toyota or have them replaced at the dealership during their next car service.  Filters that should be checked at a future visit include air filters, fuel filters and cabin filters.

Routine oil changes are among the easiest and most important things to keep up with.  

Be sure to make an appointment at the service center at the dealership serving Boston Toyota service shoppers or stop by the dealership for an oil change.  Oil changes are recommended every 3,000 miles.  Routine oil changes ensure that the car and engine are running efficiently.

Car owners who do not keep up with oil changes will run into problems when their vehicle has old oil or not enough oil.  Problems such as an engine overheating or other major problems can occur and result in high repair bills.

Fluid flushes should also be kept up with.  Coolant/antifreeze flushes, brake system flushes and transmission fluid services also help to keep all vehicles in top shape.  The technicians at the Toyota service center in MA will let drivers know when their vehicle is in need of one.

Tire rotations are also important to lengthen the lifespan of tires.  Tires should be rotated about every 5,000 miles or about every other oil change.  Tire rotations are important because they prevent tires from wearing unevenly, which can cause a car to lean and lead to safety problems.  Tire pressure should also be monitored, especially in the winter.  Car owners should make sure that they have the correct about of pressure in their tires for safety and optimum fuel efficiency.  Too low pressure wears down tires and tire treat and overfilling tires can cause tire blowouts.

Important inspections, such as inspections on brakes, front end, under-carriage, belts, hoses and battery, should be done routinely to ensure that everything is in best shape.

Toyota owners near Boston can keep up with these routine maintenances by having regular tune ups and checkups at Woburn Toyota.  Car owners will find that their vehicle will perform better and be in a much better driving condition.

For more information or to schedule an appointment at the Toyota service center in MA, contact Woburn Toyota at 800-649-0400 or visit http://www.woburntoyota.com/.

About Woburn Toyota: 
Woburn Toyota has served Toyota shoppers since 1967. The dealership carries a large inventory of new Toyota vehicles as well as used and certified used vehicles from top brands.

Contact Woburn Toyota: 
394 Washington Street
Woburn MA 01801
Sales- 877-275-1907
Service- 800-649-0400

New Toyota Prius Line Up Coming Monday

Word began to leak out more than a year ago that Toyota would grow its line of hybrids under the Prius name, transforming it from a mere model into a brand itself. It then teased an image out of a new Prius in October. And now the company says it will unveil an unspecified new Prius vehicle on Jan. 10, at the 2011 North American International Auto Show in Detroit.

Toyota was quite coy in making the announcement, saying simply, “In addition to the current third-generation Prius and Prius Plug-in vehicle (PHV), the first all-new addition to the Prius Family will debut along with a Prius concept vehicle.”

Of course, such behavior only invites intrepid auto hounds to ferret out the information, and various news organizations, blogs and chat rooms have apparently known for a while that what Toyota will show off is a hybrid Prius MPV. Car and Driver, which reported this news back in October, said the minivan was chosen to lead off the new Priuses in part because “the MPV was the vehicle most requested by current Prius owners.”

image via Toyota

To get folks ready for the new Prius, Toyota roped  X Games champion skateboarder Bob Burnquist to do a sneak peak video. You can see it below, though frankly there isn’t much to see yet.

Like what you are reading? Follow us on RSS, Twitter and Facebook to learn more and join the green technology discussion. Have a story idea or correction for this story? Drop us a line through our contact form.

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Insurers take on Toyota in acceleration lawsuits

LOS ANGELES (AP) — Hundreds of disgruntled drivers have sued Toyota Motor Corp. over its sudden acceleration issues, hoping to get paid for their safety concerns with Toyota vehicles. The Japanese automaker now faces a more formidable opponent that legal experts say has plenty of time, money and resources to challenge it in court: insurance companies.

Seven insurers filed a lawsuit in Los Angeles last week, looking to recoup more than $230,000 to cover crashes blamed on sudden acceleration. Allstate Corp. also sued Toyota late last year.

While Toyota brushed off the latest litigation and said disputes between automakers and insurance companies are common, legal experts say the world's No. 1 automaker can't be pleased that it's squaring off against an industry that knows its way around a courtroom.

"This isn't David vs. Goliath," said Tom Baker, a professor at the University of Pennsylvania Law School. "This has to be the worst news that the general counsel of Toyota has gotten in a while. If I'm Toyota and I see name–brand insurance companies suing me, I am definitely paying attention."

Working in favor of the insurance companies is an industry database that can give insurers information about accidents nationwide. That potentially damaging evidence could make its way into other lawsuits alleging Toyota is responsible for injuries, deaths, and falling resale values on the more than 10 million vehicles Toyota has recalled since late 2009.

"Presumably they are going to bring in experts and resources on the questions that haven't been answered," said attorney Christine Spagnoli, who has won several multimillion–dollar verdicts against automakers over safety defects. "They made the decision to put in the investment to prove their case, so they must be convinced there is a viable claim."

Insurance companies have played pivotal roles before. State Farm Mutual Insurance Co. said in 2000 that it tipped the National Highway Traffic Safety Administration two years earlier about crashes involving Firestone ATX tires that were later recalled for safety concerns.

NHTSA has said it has received about 3,000 reports of sudden acceleration from Toyota drivers in the past decade, including 93 deaths. The government, however, has confirmed only five deaths from two crashes.

In the insurers' lawsuit filed Dec. 30, the companies cite data compiled by an automative safety research group that sudden acceleration incidents have accounted for at least 725 crashes. The lawsuit accuses Toyota of failing to disclose known defects and not equipping its vehicles with a fail–safe measure that would cause a car to idle if the brake and gas pedals are pressed at the same time.

Among those that sued are Fireman's Fund Insurance, National Surety Corp., Motorists Mutual Insurance and American Hardware Mutual Insurance. Allstate's similar lawsuit filed in October seeks $3 million in compensation.

Toyota has blamed driver error, faulty floor mats and sticky accelerator pedals for the unintended acceleration and denies there is a design defect, as is alleged in some lawsuits that have been consolidated before a federal judge inOrange (News - Alert) County.

The U.S. government fined Toyota $48.8 million for its handling of three recalls dating back to 2004, and it was recently disclosed that the automaker paid $10 million to the family of four people killed in an August 2009 crash involving a runaway Lexus.

Insurers likely revel in suing another major entity because often times they find themselves as defendants, said Los Angeles–based lawyer Brian Kabateck, who has sued major banks for discriminatory lending practices. Although a potential payout will be a drop in their financial bucket, insurance companies are aware their involvement in a major lawsuit can have a significant impact.

"It's like giving a kid the keys to a candy store," Kabateck said. "If I was Toyota I would just groan."

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Japanese Stocks Advance, Boosting Topix to Its Best First Week in 15 Years

Japanese stocks climbed, boosting the Topix index to its best first week in 15 years, as carmakers rose on speculation U.S. demand will expand and employment will improve in the world’s largest economy.

Toyota Motor Corp., the world’s No. 1 carmaker, rose 2.2 percent and Bridgestone Corp., the world’s largest tiremaker, jumped 2.6 percent after PricewaterhouseCoopers LLP said car assembly in North America may increase 5 percent this year. Inpex Corp., Japan’s largest oil and gas explorer, sank 1.7 percent and Mitsubishi Corp., the country’s biggest commodities trader, lost 1 percent after crude and metal prices fell. Resona Holdings Inc., Japan’s fourth-largest bank by market value, slumped 4 percent after a report of a share sale.

“Investors can’t find convincing factors either to buy or sell stocks,” said Ayako Sera, a strategist in Tokyo at Sumitomo Trust & Banking Co., which manages about $310 billion. “Investors need a push to buy shares and that might be the coming U.S. jobs data.”

The Nikkei 225 Stock Average climbed 0.1 percent to 10,541.04 at the close in Tokyo, after falling as much as 0.3 percent. The broader Topix advanced 0.2 percent to 926.42. The Topix gained 3.1 percent this week, its best yearly start since 1996. The Nikkei also rose 3.1 percent.

Economists expect a U.S. Labor Department report today to show employment improved in December in the world’s largest economy.

Carmakers Gain

Carmakers were the biggest support to the Topix. Toyota gained 2.2 percent to 3,455 yen, contributing the most to the Topix’s gain. Nissan Motor Co., Japan’s third-largest automaker, jumped 4.4 percent to 861 yen.

Bridgestone, a tiremaker that gets more than 40 percent revenue from the Americas, gained 2.6 percent to 1,643 yen and its smaller rival Sumitomo Rubber Industries Ltd. climbed 0.9 percent to 867 yen. Rubber-products makers had the largest advance among the Topix’s 33 industry groups.

Automobile assembly in North America may increase 5 percent this year to 12.6 million vehicles, Anthony Pratt, automotive senior analyst of PricewaterhouseCoopers’s Autofacts team, yesterday said in a presentation in Detroit.

Inpex and Japan Petroleum Exploration Co., the nation’s second-largest oil explorer, both slumped 1.7 percent. Oil companies had the biggest drop in the Topix’s 33 industry groups.

Commodity Prices Drop

Mitsubishi, which gets about 40 percent of its sales from metals and energy, lost 1 percent to 2,349 yen. Mitsui & Co., a trading house that counts commodities as its biggest source of profit, fell 0.7 percent to 1,417 yen.

Crude oil for February delivery declined 2.1 percent to $88.38 a barrel in New York yesterday. The London Metal Exchange Index of six metals including copper and aluminum dropped 0.2 percent yesterday, falling for a second day. Gold futures for February delivery declined for the third straight day yesterday.

The Topix and Nikkei 225 yesterday both closed at their highest levels since May, with gains of about 15 percent in a rally that began Nov. 1. Stocks in the Topix were valued at 15.9 times estimated earnings on average at yesterday’s close, compared with 13.5 times for the Standard & Poor’s 500 Index and 11.1 times for the Stoxx Europe 600 Index.

The 25-day Toraku index, a measure of daily stock winners and losers in Tokyo, reached 141 yesterday, the highest reading since Dec. 22. A level of more than 120 suggests to some investors the market is overheating.

“Investors are getting concerned about overheating in the short-term,” said Juichi Wako, a senior strategist at Tokyo- based Nomura Holdings Inc. “Investors will likely be in a wait- and-see stance ahead of the jobs data.”

Resona dropped 4 percent to 523 yen. The lender confirmed, after trading closed, report that it will raise as much as 575 billion yen ($6.9 billion) selling shares in a global public offering this month to repay government bailout funds.

To contact the reporter on this story: Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net.

To contact the editor responsible for this story: Nick Gentle at ngentle2@bloomberg.net.

Japanese Stocks Advance, Boosting Topix to Its Best First Week in 15 Years

Japanese stocks climbed, boosting the Topix index to its best first week in 15 years, as carmakers rose on speculation U.S. demand will expand and employment will improve in the world’s largest economy.

Toyota Motor Corp., the world’s No. 1 carmaker, rose 2.2 percent and Bridgestone Corp., the world’s largest tiremaker, jumped 2.6 percent after PricewaterhouseCoopers LLP said car assembly in North America may increase 5 percent this year. Inpex Corp., Japan’s largest oil and gas explorer, sank 1.7 percent and Mitsubishi Corp., the country’s biggest commodities trader, lost 1 percent after crude and metal prices fell. Resona Holdings Inc., Japan’s fourth-largest bank by market value, slumped 4 percent after a report of a share sale.

“Investors can’t find convincing factors either to buy or sell stocks,” said Ayako Sera, a strategist in Tokyo at Sumitomo Trust & Banking Co., which manages about $310 billion. “Investors need a push to buy shares and that might be the coming U.S. jobs data.”

The Nikkei 225 Stock Average climbed 0.1 percent to 10,541.04 at the close in Tokyo, after falling as much as 0.3 percent. The broader Topix advanced 0.2 percent to 926.42. The Topix gained 3.1 percent this week, its best yearly start since 1996. The Nikkei also rose 3.1 percent.

Economists expect a U.S. Labor Department report today to show employment improved in December in the world’s largest economy.

Carmakers Gain

Carmakers were the biggest support to the Topix. Toyota gained 2.2 percent to 3,455 yen, contributing the most to the Topix’s gain. Nissan Motor Co., Japan’s third-largest automaker, jumped 4.4 percent to 861 yen.

Bridgestone, a tiremaker that gets more than 40 percent revenue from the Americas, gained 2.6 percent to 1,643 yen and its smaller rival Sumitomo Rubber Industries Ltd. climbed 0.9 percent to 867 yen. Rubber-products makers had the largest advance among the Topix’s 33 industry groups.

Automobile assembly in North America may increase 5 percent this year to 12.6 million vehicles, Anthony Pratt, automotive senior analyst of PricewaterhouseCoopers’s Autofacts team, yesterday said in a presentation in Detroit.

Inpex and Japan Petroleum Exploration Co., the nation’s second-largest oil explorer, both slumped 1.7 percent. Oil companies had the biggest drop in the Topix’s 33 industry groups.

Commodity Prices Drop

Mitsubishi, which gets about 40 percent of its sales from metals and energy, lost 1 percent to 2,349 yen. Mitsui & Co., a trading house that counts commodities as its biggest source of profit, fell 0.7 percent to 1,417 yen.

Crude oil for February delivery declined 2.1 percent to $88.38 a barrel in New York yesterday. The London Metal Exchange Index of six metals including copper and aluminum dropped 0.2 percent yesterday, falling for a second day. Gold futures for February delivery declined for the third straight day yesterday.

The Topix and Nikkei 225 yesterday both closed at their highest levels since May, with gains of about 15 percent in a rally that began Nov. 1. Stocks in the Topix were valued at 15.9 times estimated earnings on average at yesterday’s close, compared with 13.5 times for the Standard & Poor’s 500 Index and 11.1 times for the Stoxx Europe 600 Index.

The 25-day Toraku index, a measure of daily stock winners and losers in Tokyo, reached 141 yesterday, the highest reading since Dec. 22. A level of more than 120 suggests to some investors the market is overheating.

“Investors are getting concerned about overheating in the short-term,” said Juichi Wako, a senior strategist at Tokyo- based Nomura Holdings Inc. “Investors will likely be in a wait- and-see stance ahead of the jobs data.”

Resona dropped 4 percent to 523 yen. The lender confirmed, after trading closed, report that it will raise as much as 575 billion yen ($6.9 billion) selling shares in a global public offering this month to repay government bailout funds.

To contact the reporter on this story: Norie Kuboyama in Tokyo at nkuboyama@bloomberg.net.

To contact the editor responsible for this story: Nick Gentle at ngentle2@bloomberg.net.

Report: Toyota tips Prius family to take #1 slot by decade's end

With the first year of this decade only a few days behind us, Toyota is already making sales predictions for the coming nine years. And according to a new report from Bloomberg, the Japanese auto giant believes that the Prius will become its top-selling model in the United States by the end of the decade.

The sales forecasts take into account the expansion of the Prius line from the current hybrid sedan to incorporate new bodystyles, including the MPV version set to be unveiled shortly at the Detroit Auto Show.

The Camry stands as the company's top-selling model currently, but with sales of the Camry lagging and the Prius expanding, the dedicated hybrid – though facing increased competition from the likes of the Nissan Leaf and Chevrolet Volt – is tipped to take the top spot in the Toyota lineup.

Insurers Sue Toyota Over Acceleration Claims Costs

DETROIT–Seven insurance companies have filed lawsuits against Toyota Motor Corp. seeking a minimum of $230,000 to cover the cost of claims paid for accidents related to the unintended acceleration problems identified in Toyota vehicles in the past several years

The insurers filed separate but identical complaints Dec. 30 in Los Angeles County Superior Court, claiming that defects in Toyota vehicles were the cause of the crashes. "Certain of Toyota's cars and trucks have a defect that causes sudden, uncontrolled acceleration to speeds of up to 100 miles per hour or more," the complaints allege. "This defect is combined with the operator's inability to stop the vehicle during such an incidence due to defective electronics and the absence of a fail-safe, such as a brake-override system."

The lawsuits are similar to one filed by Allstate Corp. three months ago in the same court seeking $3 million in damages. The litigants are American Hardware Mutual Insurance Co., Fireman's Fund Insurance Co., National Surety Corp., American Automobile Insurance Co., Ameriprise Insurance Co., Motorists Mutual Insurance Co. and IDS Property Casualty Insurance Co.

These types of claims "are common between insurers and auto makers. However, Toyota believes that any allegation that a vehicle-based defect is the cause of unintended acceleration in this or any other complaint is completely unfounded and has no basis," said Celeste Migliore, a Toyota spokeswoman.

A message left with Edward Ordonez, one of the attorneys listed on the complaints, was not immediately returned.

In addition to the lawsuits from the insurance companies, Toyota faces more than a hundred complaints in federal court related to unintended acceleration. Most complaints contend that Toyota's electronic throttle control system malfunctioned, causing cars to speed out of control.

Toyota has steadfastly denied problems with its electronics. It has admitted it had sticky throttles and floormats that could slip and entrap the pedal. These problems led to more than eight million recalls globally and a temporary halt to sales of eight Toyota models in the U.S. The company also began installing brake-override systems in all of its models and retroactively installing the system on some high-volume models during the recall. The system cuts power to the engine when both the brake and accelerator pedal are depressed.

The U.S. Department of Transportation has been investigating Toyota vehicles for more than six months and has enlisted the aid of the National Aeronautics and Space Administration to run tests of vehicles. So far, no evidence of electronic problems has surfaced, but a final report hasn't been released.

Indeed, analysis of crashes that have occurred in the past year where unintended acceleration was blamed shows that drivers were accidentally hitting the accelerator pedal instead of the brake in most cases.

The Los Angeles Times first reported the lawsuits.

Write to Mike Ramsey at michael.ramsey@wsj.com