From Fortune:

Toyota Motor Corp. will pause shipments of 10 vehicle models due to diesel engine certification issues, Toyota Industries Corp. revealed. An investigative committee found discrepancies in horsepower-output testing, leading to software inconsistencies and values with less variation. Japanese carmaker Daihatsu Motor Co., a Toyota subsidiary, also revealed manipulated safety tests on its vehicles. The scandal has prompted halting of shipments and work suspension at Daihatsu. Toyota’s CEO admitted to data fabrication at subsidiaries and vowed to value worker input. Production of affected models in Japan will immediately stop, with overseas production to be halted from Tuesday and restarted on a country-specific basis. Bloomberg Intelligence Senior Analyst Tatsuo Yoshida warned about potential damage to Toyota’s reputation. The committee probing Toyota Industries found irregularities during horsepower-output testing for three engine models used in 10 car models globally. The certification-related irregularities emerged while mass production was being avoided, per Special Investigation Committee Chair Hiroshi Inoue. The impact on earnings is still uncertain, said Toyota Industries President Koichi Ito. Japan’s transport ministry will begin on-site inspections on Tuesday. Toyota pledges involvement in company-wide activities to rebuild Toyota Industries and guarantee top priority for safety and quality. Thus, the repeated scandals at Toyota hint at a common issue around understanding and respect concerning certification.



Read more: Toyota is suspending the shipment of 10 vehicle models after it found problems with diesel engine tests