News release, “U.S. Department of Transportation Releases Results from NHTSA-NASA Study of Unintended Acceleration in Toyota Vehicles“:

WASHINGTON, DC — The U.S. Department of Transportation released results from an unprecedented ten-month study of potential electronic causes of unintended acceleration in Toyota vehicles. The National Highway Traffic Safety Administration (NHTSA) launched the study last spring at the request of Congress, and enlisted NASA engineers with expertise in areas such as computer controlled electronic systems, electromagnetic interference and software integrity to conduct new research into whether electronic systems or electromagnetic interference played a role in incidents of unintended acceleration.

NASA engineers found no electronic flaws in Toyota vehicles capable of producing the large throttle openings required to create dangerous high-speed unintended acceleration incidents….

Toyota Statement in Response to NHTSA/NASA Study:

In response to the publication by the National Highway Traffic Safety Administration (NHTSA) of an extensive review of the electronic throttle control systems in Toyota and Lexus vehicles, conducted with the assistance of the National Aeronautics and Space Administration (NASA), Steve St. Angelo, Toyota’s Chief Quality Officer for North America, said: “Toyota welcomes the findings of NASA and NHTSA regarding our Electronic Throttle Control System with intelligence (ETCS-i) and we appreciate the thoroughness of their review. We believe this rigorous scientific analysis by some of America’s foremost engineers should further reinforce confidence in the safety of Toyota and Lexus vehicles. We hope this important study will help put to rest unsupported speculation about Toyota’s ETCS-i, which is well-designed and well-tested to ensure that a real world, un-commanded acceleration of the vehicle cannot occur.

Coverage …

• The Detroit News, “Feds: No electronic link to runaway Toyotas“
• Wall Street Journal, “Electronics Cleared in Toyota Acceleration“
• Bizjournals.com, “Toyota problems not caused by electronic flaws

In the yet another absurd and offensive plan to bully companies into unionizing, the United Autoworkers are preparing to claim that auto manufacturers that resist labor organizing campaigns are human rights violators.

In a Washington Times analysis, “UAW doesn’t care what you think, Ivan Osorio and F. Vincent Vernuccio of the Competitive Enterprise Institute describe the scheme led by UAW President Bob King:

The UAW has laid out a set of demands, known as its Principles for Fair Union Elections, which are intended to facilitate the union’s organizing efforts…

Essentially, the UAW principles boil down to a company’s managers not telling workers their side of the story regarding what would happen if a union organized their business. The principles call for employers not to talk to their employees unless they also invite the UAW to speak, never to say that unionization would lead to job losses (and to disavow any group that does) and always to leave open the option of card-check organizing.

If a company reject this demand for a so-called neutrality agreement, the UAW will mount a campaign in alliance with outside groups to damage the business’ reputation. Basically, it’s extortion by negative PR. That’s a familiar and ugly tactic known as a “corporate campaign,” but the UAW has even more odious plans in the works.

Mr. King recently announced that if companies resist his organizing efforts, the UAW “will launch a global campaign to brand that company a human rights violator.” What would such a campaign look like? The Obama administration’s report to the United Nations Human Rights Council – whose members include such human rights champions as China, Cuba, Libya and Saudi Arabia – provides a hint. (continue reading…)

Given the state of Mississippi’s record in creating an economic climate that attracts manufacturers and encourages their expansion, it comes as no surprise that Gov. Haley Barbour paid great attention to manufacturing in his final State of the State address delivered Tuesday.

The Republican governor also did an excellent job in linking economic growth to education and workforce development, highlighting the state’s new Department of Employment Security, the establishment of the Workforce Investment Board and the Workforce Enhancement Training or WET Fund. From the text:

Now, every year, the WET fund puts about $20 million into workforce development and skills training at our 15 community colleges, which do a great job. A study of graduates of WET-fund financed programs show they make $4,300 more per year than before that training, and our improved, skilled workforce as been a reason companies like Toyota, GE Aviation, PACCAR, Severstal and a long list of very hightech energy companies have come to Mississippi.

Coupled with workforce quality, the State has focused on attracting advanced manufacturing with advanced materials. We’ve targeted aerospace, automotive and energy, as well as service sectors. We’ve also beefed up our efforts to help existing businesses.

The results include a 27 percent increase in personal per capita income despite the recession. This is the 15th highest increase in the country over this six-year period.

The Governor pointed to specific examples of investment and hiring created by manufacturers taking advantage of Mississippi’s pro-business climate.
(continue reading…)

Gov. Mitch Daniels of Indiana announced this week that he will lead another Hoosier trade mission to China and Japan beginning in November. About 40 members will join the delegation, which will travel to Shanghai and Zhejiang, Indiana’s Chinese sister-state, then on to Nagoya and Tokyo in Japan.

From the news release, “Governor to travel to China and Japan“:

“Following our first trip to China last year, we’ve had several successes. The potential for more jobs from China is growing, and we’ll spend additional time there this year,” said the governor. “Of course, our trips are always built around visiting our customers in Japan, and we’ll do the same again this year.”

More than 42,000 Hoosiers are employed by more than 200 Japanese companies in the state. Those companies have investments here of more than $9.8 billion. Since last year’s trip, China-based Y.K. Furniture announced plans to establish a $24 million U.S. headquarters in Marion and lithium-ion battery maker EnerDel announced an agreement with Wanxiang, the largest auto parts producer in China, which EnerDel says will rapidly accelerate its business plan. The governor met with officials from Y.K. Furniture and Wanxiang during his 2009 trip to China. (continue reading…)

Just very impressed by this Toyota viral music video, playing off the Sienna family TV commercials. Family friendly while still getting the rap genre down cold.

Toyota has its own YouTube channel devoted to the campaign, http://www.youtube.com/sienna. The explanation: “Toyota teamed with comedy director Jody Hill to create a series of Web videos featuring two self-absorbed parents and the only vehicle that matches their awesomeness, the all new Sienna – the first minivan made with adults’ minds in mind.”

With two Congressional hearings scheduled this week on the subject of Toyota recalls, we think it’s important that not just Congress, but the public too, give the company a fair hearing, allowing it to explain the circumstances and the steps it has taken to correct the problems.

A good place to start is an op-ed from Toyota’s president, Akio Toyoda, in today’s Wall Street Journal, “Back to Basics for Toyota“:

The past several months have been humbling for all of us at Toyota. We are taking this experience to heart, making fundamental changes in the way our company does business. I can assure you that our response will be comprehensive.

The first step is taking care of vehicles on the road today. But it also means making even safer vehicles in the future—and being more open and transparent about any safety issues that arise.

Since last June, when I took over as president of the company, I have personally placed the highest priority on improving quality, not quantity. All Toyota vehicles bear my name. When cars are damaged, it is as though I am as well. I love cars, and I take the utmost pleasure in offering vehicles that our customers love. I, more than anyone, want Toyota’s cars to be safe, and for our customers to feel safe when they drive our vehicles.

Toyoda’s column summarizes the concrete steps the company has taken to respond to customers’ concerns, and he pledges that Toyota “will set a new standard for transparency and speed of response on safety issues.”

Earlier, in Feb. 9 Washington Post op-ed, Toyoda explained “Toyota’s plan to repair its public image.”

The company’s website, www.toyota.com, has more detail with lots of information for Toyota owners and drivers.

Congressional hearings start today at 11 a.m. with a meeting of the House Energy and Commerce Committee, “Response by Toyota and NHTSA to Incidents of Sudden Unintended Acceleration.” On Wednesday, the House Oversight and Government Reform Committee will hold its own hearing, “Toyota Gas Pedals: Is the Public at Risk?”

The Detroit News takes a slight breather today in its coverage of the Detroit auto industry, with a mere score of articles, while expanding its sights overseas:

Michigan needs to act like the Big 3

Daniel Howes: Conventional wisdom holds that Michigan is entering Year Seven of its one-state recession because Detroit’s automakers are tanking — and poised to drive off a cliff.

• UAW to suspend maligned jobs bank
• On Capitol Hill, Big 3 put on hard sell

 Toyota to cut domestic output amid slowing demand

TOKYO — Toyota is starting to feel the pinch of the global slowdown at home. 7:04 am

Honda to cut jobs in Britain, Japan amid global slump

Britain new car sales down 37 percent in November

Some place their hopes in nostalgia.

A ’60s classic back in Motown

Schlitz’s Classic 1960s beer is back on shelves after nearly three decades, prompted by demands from aficionados hankering for the maltier, full-bodied lager.

Reuters, “Toyota wants German bank help extended to leasing“:

FRANKFURT, Nov 13 (Reuters) – The German government should extend its rescue package for financial institutions holding banking licences to those that lease vehicles, the head of Toyota Motor Corp’s German banking unit said…”The bailout hardly helps the auto industry,” said Peter Pollhammer, deputy head of the German association for consumer lending that represents carmakers’ banking arms.

AFP, “Ford asks German government for help“:

BERLIN: US automaker Ford has asked Berlin for aid but the government is divided on how to help Germany’s key but troubled industrial sector. After General Motors’ German subsidiary Opel, a second US group implanted in Germany has thus turned to Chancellor Angela Merkel for aid. …”We sent a letter on the same day as Opel,” a Ford spokesman told the Sueddeutsche Zeiting newspaper yesterday. Both auto makers have pressed the government for tax measures that would boost the sale of new cars, but neither has received a reponse for the time being, the report said.

Ward’s Auto (subscription), “Oz Government Says Won’t Turn Back on Auto Industry“:

We’re there to stand shoulder-to-shoulder with the industry because it’s absolutely at the backbone of Australian manufacturing,” says Industry Minister Kim Carr.

The National Post (Canada), editorial, “If a bailout is necessary, make sure it works“:

[In] an ideal world, we would oppose the bailout packages for automakers purportedly coming soon from Ottawa and Washington. Did taxpayers approve labour contracts with unionized workers that make it uneconomic for the North American Big Three manufacturers to make cars? Did ordinary Canadians fail to retool auto plants to produce the smaller, more fuel efficient vehicles consumers are demanding? The answers, of course, are no. So why then should taxpayers save the backsides of those who did?

The trouble is, we do not live in an ideal world. To create the conditions that would encourage market-driven corporate governance reforms would take years of political and voter education. Politicians, workers and taxpayers would have to be shown how the short-term economic pain caused by permitting large companies to go under is actually beneficial to long-term corporate and individual success. Laws governing director and investor responsibilities would have to be redrafted. And citizens would have to be disabused of the myth they hold about the effectiveness of government regulators to prevent catastrophes. The Sarbanes-Oxley legislation — considered the most comprehensive regulations in history on corporate transparency and stock trading — introduced in the United States after the collapse of Enron, Worldcom and others, did little to prevent the current crisis while at the same time adding billions to the cost of doing business in North America.

But such a change of legislation and of mindset would take a generation. In the mean time, the auto industry accounts for just under 10% of our entire economy. According to Statistics Canada, near 20¢ of every retail dollar is spent on new cars. That’s more than on food, clothing, vacations and electronics. Well over half a million Canadians are employed by car manufacturers, parts makers, dealerships and service stations.

Read the whole thing.