Prius and Auris hybrid recall
Of the 1.25 million affected 2008-2014 Prius and Auris models, around 56,000 were sold in the UK. Affecting the power system, Toyota says there’s an issue with the hybrid system failsafe which could cause cars to stall at high speeds. As a solution, Toyota is contacting affected car owners to schedule a software update for their car. If you don’t receive a letter, your Toyota Prius or Auris should be acceptable to drive. Also, as mentioned in the Daily Express, the fault is a rare occurrence for recalled cars.
Brexit impact on Toyota operations
The recall comes at a time when Brexit uncertainty is already causing a negative impact. This week, the BBC, among other publications reported a 20% drop in total new car registrations for September. Additionally, a no-deal Brexit could cause Toyota to cease operations at its Burnaston plant. Fueled by a fear of increased tariffs, the car manufacturer currently relies on the UK for duty-free sales. Johan van Zyl, Toyota Motor Europe chief stated, “”The reason for many manufacturers being in the UK is the fact that they could export to the European market duty free – and that is a critical one (BBC).”
World’s most profitable carmaker
Toyota’s widespread impacts are the direct result of its global influence. In the UK alone, the company produces around 600 cars per day, 5 days a week. They’ve already invested 240 million pounds in the Burnaston plant, which is the only factory producing the Auris hatchback and wagon for Europe. Events like a hard Brexit could create major problems for Toyota. With bigger opportunities on their horizon, they may look elsewhere. “…it welcomed progress on a North American trade agreement. Van Zyl said in a separate interview with Bloomberg TV on Tuesday that the deal between the U.S., Mexico and Canada brings stability amid escalating global trade friction (Bloomberg).”