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Toyota recalls 3.37m cars over airbag, emissions control issues

By Reuters - Jun 29,2016 - Last updated at Jun 29,2016

A picture taken on Wednesday shows a car on display at a Toyota car dealership in The Hague, The Netherlands (AFP photo)

WASHINGTON/TOKYO — Toyota Motor Corp. has recalled 3.37 million cars worldwide over possible defects involving airbags and emissions control units.

The automaker on Wednesday said it was recalling 2.87 million cars over a possible fault in emissions control units. That followed an announcement late on Tuesday that 1.43 million cars needed repairs over a separate issue involving airbag inflators.

Some of the automaker’s gasoline-electric hybrid Prius models contain both of the potential defects, taking the total number of vehicles affected by the recalls to 3.37 million.

No injuries have been linked to either issue.

Toyota on Wednesday said evaporative fuel emissions control units in models produced from 2006 to 2015 including the Prius, Auris compact hatchback and its popular Corolla models were prone to cracks, which could expand over time and lead to fuel leaks.

Late on Tuesday it recalled Prius models and Lexus CT200h cars made from 2010 to 2012 over airbag inflators that could have a small crack in a weld, which could lead to the separation of the inflator chambers.

The inflator could partially inflate and enter the vehicle interior, increasing the risk of injury, Toyota said.

Sweden-based auto safety gear maker Autoliv Inc. confirmed on Wednesday that it supplied the airbag inflators involved in the recall.

The company said it was aware of seven incidents where a side curtain airbag has partially inflated in parked Toyota Prius cars, but no injuries were reported.

Autoliv has benefited from an early recall involving faulty airbag inflators made by Japan’s Takata.

The company said in a regulatory filing in April that it was investigating six incidents related to its airbags and a possible recall could cost it between $10million-$40 million, net of expected insurance recoveries. 

Autoliv said on Wednesday it expected the cost of recall to be at the lower end of the range.

The company’s US-listed shares were down 4.7 per cent at $105.00 in premarket trading. The stock fell as much as 16 per cent to 765 Swedish kronas on the Stockholm Stock Exchange, their lowest since December 2014.

 

Toyota Motor’s US listed shares were down 1.2 per cent at $98.69 in premarket trading.

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