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Motoring @ AsiaOne
Confidence in Toyota drops
Toyota Korea's apology may not be enough to calm the worries of everyone. -The Korean Herald/ANN
Tue, Feb 16, 2010
The Korea Herald/Asia News Network
By Lee Ho-joon
Toyota Korea bought large advertisement space in local newspapers Thursday (February 11) to offer a public apology for "concern caused" by a massive recall program.
The statement outlined the recall order as well as the measures being taken to address the problems found in Toyota vehicles in Korea.
"Toyota Korea apologises once again about the recall causing concern to our customers. We will do our best to minimise inconveniences caused through quick follow up measures," it said.
Toyota Korea's apology, the first public action it has taken since its parent company was forced to make massive recalls, may not be enough to calm the worries of everyone.
Kim Eui-jae, a 34-year-old office worker living in Seoul, said that developments surrounding the Toyota recall helped him decide against buying a Prius hybrid electric vehicle.
"Actually, I had been in two minds about the Prius as the model introduced in Korea is not a 2009 model but is from 2006. The recent recall actually helped me to make up my mind," Kim said.
"Although I will have to spend a little bit more, I am opting for Hyundai's Genesis. I have lost my confidence in Japanese cars."
Toyota, whose name has long been synonymous with safety and quality, is suffering major blows dealt by the biggest-ever and growing recall.
"Approximately 100 contracts have been cancelled recently just at our store," said a dealer at an official Toyota dealership in southern Seoul.
"The number of new contracts is also in decline," he said, speaking on condition of anonymity.
Other dealers appear to be faced with a similar decline in visitors interested in Toyota vehicles.
"We are at a loss," a dealer at another Toyota store said.
"The number of prospective customers visiting our store has fallen by almost 50 per cent," said the dealer, who also refused to give his name.
In fact, local sales of Toyota vehicles have been falling since November 2009. According to the Korea Automobile Importers and Distributors Association, Toyota sold only 441 vehicles in Korea last month, compared with 830 and 660 in November and December 2009, respectively.
"A total of 444 vehicles that have been imported individually and through parallel importers as well as 510 Prius models are all subject to recall, which will begin on Feb. 16," said an official at a dealership in southern Seoul.
"We are following the situation closely and making sure that Toyota customers are receiving the best care possible."
While many are affected by Toyota's crisis, however, there are those who are benefiting from the situation, even at Toyota.
"Some customers have not lost their trust in Toyota. I've received calls asking whether they can receive the vehicle faster in view of the contract cancellations," he said.
Nissan Korea is also benefiting from the recent developments.
"I believe that the situation has been somewhat beneficial to Nissan," said Yoon Chul-kyun, executive manager at a Nissan dealership.
"There are customers who are making new Altima contracts after cancelling their Camry contracts at Toyota." Altima is one of Nissan Korea's best-selling models, and the country's fifth bestselling imported car for January.
"We are experiencing about 30 per cent growth in the number of customers visiting our stores," Yoon said.
"Although we did receive a few calls from those who are worried about the Japanese automakers as a whole, we are not concerned about decline in sales," he said.
The situation at Honda Korea appears to be more sheltered from the Toyota crisis, and from Honda's own recall orders.
"There have been customers asking whether his or her Honda vehicle is subject to recall. But the models the company is recalling are cars made in 2000 and 2001. Honda Korea was established in 2004 so we never sold those models," a local Honda dealer said.
"It's not what is happening in the United States that worries me. For us, the dispute over Dokdo is a bigger issue," he said, refering to the fact that sales of Japanese brands sometimes drop when Korea-Japan relations deteriorate over disputes concerning territorial and historical issues. Japan claims sovereignty over the Korean-held rocky islets in the East Sea.
Copyright ©2010 Singapore Press Holdings Ltd. Co. Regn. No. 198402868E. All rights reserved.
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Confidence in Toyota drops
Toyota Korea's apology may not be enough to calm the worries of everyone. -The Korean Herald/ANN
Tue, Feb 16, 2010
The Korea Herald/Asia News Network
By Lee Ho-joon
Toyota Korea bought large advertisement space in local newspapers Thursday (February 11) to offer a public apology for "concern caused" by a massive recall program.
The statement outlined the recall order as well as the measures being taken to address the problems found in Toyota vehicles in Korea.
"Toyota Korea apologises once again about the recall causing concern to our customers. We will do our best to minimise inconveniences caused through quick follow up measures," it said.
Toyota Korea's apology, the first public action it has taken since its parent company was forced to make massive recalls, may not be enough to calm the worries of everyone.
Kim Eui-jae, a 34-year-old office worker living in Seoul, said that developments surrounding the Toyota recall helped him decide against buying a Prius hybrid electric vehicle.
"Actually, I had been in two minds about the Prius as the model introduced in Korea is not a 2009 model but is from 2006. The recent recall actually helped me to make up my mind," Kim said.
"Although I will have to spend a little bit more, I am opting for Hyundai's Genesis. I have lost my confidence in Japanese cars."
Toyota, whose name has long been synonymous with safety and quality, is suffering major blows dealt by the biggest-ever and growing recall.
"Approximately 100 contracts have been cancelled recently just at our store," said a dealer at an official Toyota dealership in southern Seoul.
"The number of new contracts is also in decline," he said, speaking on condition of anonymity.
Other dealers appear to be faced with a similar decline in visitors interested in Toyota vehicles.
"We are at a loss," a dealer at another Toyota store said.
"The number of prospective customers visiting our store has fallen by almost 50 per cent," said the dealer, who also refused to give his name.
In fact, local sales of Toyota vehicles have been falling since November 2009. According to the Korea Automobile Importers and Distributors Association, Toyota sold only 441 vehicles in Korea last month, compared with 830 and 660 in November and December 2009, respectively.
"A total of 444 vehicles that have been imported individually and through parallel importers as well as 510 Prius models are all subject to recall, which will begin on Feb. 16," said an official at a dealership in southern Seoul.
"We are following the situation closely and making sure that Toyota customers are receiving the best care possible."
While many are affected by Toyota's crisis, however, there are those who are benefiting from the situation, even at Toyota.
"Some customers have not lost their trust in Toyota. I've received calls asking whether they can receive the vehicle faster in view of the contract cancellations," he said.
Nissan Korea is also benefiting from the recent developments.
"I believe that the situation has been somewhat beneficial to Nissan," said Yoon Chul-kyun, executive manager at a Nissan dealership.
"There are customers who are making new Altima contracts after cancelling their Camry contracts at Toyota." Altima is one of Nissan Korea's best-selling models, and the country's fifth bestselling imported car for January.
"We are experiencing about 30 per cent growth in the number of customers visiting our stores," Yoon said.
"Although we did receive a few calls from those who are worried about the Japanese automakers as a whole, we are not concerned about decline in sales," he said.
The situation at Honda Korea appears to be more sheltered from the Toyota crisis, and from Honda's own recall orders.
"There have been customers asking whether his or her Honda vehicle is subject to recall. But the models the company is recalling are cars made in 2000 and 2001. Honda Korea was established in 2004 so we never sold those models," a local Honda dealer said.
"It's not what is happening in the United States that worries me. For us, the dispute over Dokdo is a bigger issue," he said, refering to the fact that sales of Japanese brands sometimes drop when Korea-Japan relations deteriorate over disputes concerning territorial and historical issues. Japan claims sovereignty over the Korean-held rocky islets in the East Sea.
Copyright ©2010 Singapore Press Holdings Ltd. Co. Regn. No. 198402868E. All rights reserved.
Privacy Statement Conditions of Access Advertise
