In another shock development after the VW DieselGate and Mitsubishi Fuel efficiency scandal, Japan based Suzuki Motor has admitted to having used improper methods to test the fuel efficiency of its vehicles. Japanese media have cited several sources in reporting that Suzuki used improper testing methods for fuel efficiency. Company Chairman Osamu Suzuki will be presenting a report to the country’s transport ministry in this regard later in the day. The development can have adverse impact on the company’s India operations as well, as it accounts for almost half of the country’s total passenger car sales. Suzuki’s shares fell by almost 15 percent reacting to the news. Even Maruti Suzuki share prices fell by about 2.5 percent during early trade in India.
After the efficiency figure fudging admittance by Mitsubishi revelation, Japan’s transport ministry had ordered Japanese car makers to carry out investigations and report if any discrepancies have been found. Suzuki Motor happens to be the first car maker to have come out in the open voluntarily after the directive was issued. It’s notable that Wednesday (18 /05 /2016) is the last day for faltering companies to come up with their reports.
While Suzuki Motor hasn’t said officially about the allegations, company chairman Osamu Suzuki will brief the media at 4 p.m. in Tokyo, 12:30 PM IST. We will report about the happening from the media briefing soon enough. Stay tuned.
In the meantime, do share your views on the ever increasing corruption rot within the auto industry through the comments section below.