Toyota plans to recall 270,000 of its popular Prius hybrid in the United States and Japan over a braking issue, the Nikkei News Service reported. This is the latest in an escalating string of safety problems for Toyota.
The news of the possible recall comes after the Transportation Department opened an investigation into dozens of complaints over braking problems affecting the new, third-generation 2010 Prius, especially when the car goes over potholes or rough roads.
There's no doubt about the rough road ahead for Toyota and its Dealer body.
NHTSA said it has received 124 reports from consumers about the Prius brakes, including four reports of crashes. The investigation will look into allegations of momentary loss of braking capability while traveling over uneven road surfaces, potholes or bumps.
The Prius issue represents another setback for Toyota, which has been battered by two major recalls covering some 8 million vehicles in the United States and abroad. Those involve gas pedals that can get trapped under floor mats or become stuck on their own and fail to return to the idle position. The safety probes have challenged Toyota's longstanding reputation for building safe, quality vehicles.
NHTSA said investigators have talked to consumers and conducted pre-investigatory field work on the Prius. The preliminary evaluation involves about 37,000 vehicles in the United States.
"Safety is our top priority," said Transportation Secretary Ray LaHood. NHTSA said LaHood spoke with Toyota President Akio Toyoda late Wednesday and was assured by the executive that Toyota was taking the safety concerns seriously.
Toyota shares hit a new low on LaHood's comments, including a statement he later clarified that had been interpreted as a warning for consumers to "stop driving" the Toyota vehicles covered by the sweeping recalls.
Toyota has issued recalls on more than 8 million cars worldwide, including some vehicles subject to multiple recalls. For more information, customers can call Toyota at 1-800-331-4331. Here is a summary.
• Gas pedal issues
• Floor mat issues
The following models are affected by the recall and sales suspension over potentially sticking gas pedals:
• Certain 2009-2010 RAV4s
• Certain 2009-2010 Corollas
• 2009-2010 Matrix
• 2005-2010 Avalon
• Certain 2007-2010 Camrys
• 2010 Highlander (except hybrids)
• 2007-2010 Tundra
• 2008-2010 Sequoia
Toyota acknowledged the brake problem while reporting a $1.7 billion profit for its October-December quarter.
Shares of Toyota traded in the U.S. have declined about 22 percent since Jan. 21, when Toyota announced an expanded recall over the gas pedal issues.
Toyota is expecting to lose up to 100,000 + in vehicle sales because of the recall fallout — 80,000 of them in North America.
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