Only small number of Jeeps fixed after recall began
DETROIT » Nearly two years after agreeing to recall 1.56 million older Jeeps that could catch fire in rear-end crashes, the maker of the vehicles has repaired only a fraction of the Jeeps covered by the recall, according to documents filed with federal safety regulators.
Fiat Chrysler U.S. has fixed just 4 percent of the Grand Cherokees and 27 percent of the Libertys that were recalled.
The Jeep repair rate of Fiat Chrysler U.S. is far below the average of 75 percent 11⁄2 years after a recall is announced, and it could set up another confrontation between Chrysler, which makes Jeeps, and the government.
The National Highway Traffic Safety Administration has been sparring with Chrysler for more than a year over repair rates for the recall, which involves installing trailer hitches to help protect the Jeeps’ gas tanks in a rear-end crash.
The tanks are mounted behind the rear axle and have little structure to protect them if struck from behind. Federal documents show that at least 75 people have died in post-crash fires blamed on the tanks.
Mark Rosekind, head of the National Highway Traffic Safety Administration, said the agency wants 100 percent completion. NHTSA has authority to fine automakers a maximum of $35 million if they do not cooperate or finish recalls in a timely manner. But there’s no set deadline for completion.
Toyota plans to construct plants in Mexico, China
TOKYO » Toyota plans to build new auto assembly plants in Mexico and China, ending a self-imposed 3-year break from expansion over quality concerns due to massive recalls.
Toyota Motor Corp. announced Wednesday it will invest $1 billion in the plant in the Mexican state of Guanajuato, creating 2,000 jobs to make the Corolla compact car, the company’s second-biggest seller in the U.S.
Production is to start in 2019, with annual output estimated at 200,000 vehicles. That will consolidate Corolla production for North America in that plant and Toyota’s plant in Blue Springs, Miss.
Toyota will stop producing Corollas at its plant in Ontario, Canada, which will instead focus on more expensive midsize vehicles. Toyota did not give specifics. The plant now produces Lexus models, the RAV4 sport-utility vehicle and the Matrix hatchback, in addition to the Corolla.
Also, Toyota is adding a third assembly line next to its plant in Guangzhou, China, investing $440 million. The line is to be completed by 2017, for a model it declined to disclose.
ON THE MOVE
Halekulani Corp. has named Mary Suenaga project manager. Her experience includes serving as associate vice president at Wimberly Allison Tong & Goo and senior designer at Media5 Architecture.
Bays Lung Rose & Holma has named Bart W. Howk as a partner in the firm. His practice includes real estate transactions, business organizations, mergers and acquisitions, and financing. He has also served on the boards of directors for the Hawaii State Bar Foundation and Young Lawyers Division.