Get 40% Off
🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

U.S. regulator asked carmakers to disclose any Kobe Steel safety issues - letter

Published 12/01/2018, 18:31
Updated 12/01/2018, 18:40
© Reuters. FILE PHOTO: The Kobe Steel Kobelco headquarters building is seen in Kobe
GM
-
MBGn
-
HOG
-
HG
-
TSLA
-
NAV
-
BRKa
-
VOWG_p
-
7201
-
7211
-
7267
-
5406
-
7203
-

By David Shepardson

WASHINGTON (Reuters) - A U.S. auto regulator asked 29 carmakers to disclose if the safety of any of their vehicles or engines containing products supplied by Kobe Steel Ltd (T:5406) could be affected by data cheating, according to a letter seen by Reuters.

Japan's third-largest steelmaker, which supplies the makers of cars, planes, trains and other industrial products across the world, said in October that about 500 of its customers had received products with falsified specifications, in one of the country's biggest industrial scandals.

In a previously undisclosed special order dated Nov. 8, the National Highway Traffic Safety Administration (NHTSA) asked a range of companies including General Motors Co (N:GM), Toyota Motor Corp (T:7203), Volkswagen AG (DE:VOWG_p) and Tesla Inc (O:TSLA) to file reports to the agency.

It also asked for details about materials testing and documents from Kobe Steel about products not meeting specifications. Companies were given until Dec. 28, but some were given extensions, according to a person briefed on the matter.

Gloria Bergquist, a spokeswoman for the Alliance of Automobile Manufacturers, a trade association representing major automakers, said automakers "are cooperating with the agency in responding to the special order."

Other companies on the list, including Mitsubishi Motors Corp (T:7211), Navistar International Corp (N:NAV), Daimler AG (DE:DAIGn), Harley-Davidson Inc (N:HOG) and Forest River Inc, a recreational vehicle manufacturer owned by Berkshire Hathaway Inc (N:BRKa) did not immediately comment or declined to comment.

Toyota, Honda Motor Co (T:7267) and Nissan Motor Co (T:7201) said in Japan in October they had found no safety issues with Kobe products.

NHTSA Deputy Administrator Heidi King declined to comment on the special order.

A Kobe Steel spokesman in Japan did not respond to a request for comment.

Outside investigators appointed by Kobe to look into the malpractice found that senior officials in the company’s copper and aluminum business knew of some of the cheating.

The company said in December that investigation would be completed by around the end of February, two months later than expected.

© Reuters. FILE PHOTO: The Kobe Steel Kobelco headquarters building is seen in Kobe

Kobe has also said it is the subject of a separate U.S. Justice Department inquiry.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.