Going into the history books is something everyone would aspire to, provided that it is not for the wrong reasons. In the automotive sale industry, air bag supplier Takata Corp from japan has entered into these books albeit for not so good a reason. Defects in the company’s product have led to the recall of over 34 million vehicles in the US alone, a record by a far cry.
The recall affects over 11 automakers whose car rating has taken a considerable battering in the car market. The most heavily affected car maker is Honda Motor Co Limited alongside fellow Japanese manufacturers Toyota Motor Corp and Nissan Motor Co Limited.
The latest recall drives the global recall number up to 53 million units according to the US Department of Transportation, National Highway Traffic Safety Administration (NHTSA) and Takata. It was due to pressure from the former duo that resulted in the Japanese supplier expanding the recall.
The auto makers had decided to recall their cars independent of the supplier after the problem became evident in the form of air bags that exploded with too much force sending shrapnel projecting towards the occupants of the vehicle. Apparently the air bag inflators were not sealed properly thus allowing moisture to seep in to the propellant casing. Moisture reacts with the propellant resulting in it exploding with too much force.
The NHTSA’s new administrator Mark Rosekind has been aggressive in pursuing this issue. The administration imposed upon Takata a $14,000 daily fine in February. Takata’s financial woes are far from over according to Valient Market Research whose president says that the recall may cost in the region of $4 billion to $5 billion.
The world’s second largest air bag inflator maker is still embattled on other fronts like the defection of some of its clients to other suppliers as well as the multiple class action suits it is facing in the United States alone.
