Toyota recalling millions of vehicles and halting sales on 8 vehicles

Simon Constable from Dow Jones is sitting in for John Batchelor of the John Batchelor radio show.

Toyota is halting sales on eight popular models, and recalling 4.5 million cars.

This problem has been known for awhile, but it really came to light when an Officer in Southern California had sudden acceleration on the phone. Once the 911 phone call came out the problem really came to light.

The fix has not been brought to market yet.

Bloomberg says that dealers will lose $2.47 billion dollars a month with the halt of these sales.

How will Toyota deal with their previous and future customers will be of utmost concern.

General Motors, Ford, Hyundai and Kia are offering incentives to Toyota customers.

How will this play out for Toyota? In California Toyota has 25% of the market, followed by Honda and Ford, but watch out for Buick.

Will there be lawsuit’s? There are about sixteen lawsuit’s right now and Toyota is working with NHTSA.

Congress has already called for a hearing.

About the Author:

Lou Ann Hammond is the CEO of Carlist and Driving the Nation. She is the co-host of Real Wheels Washington Post carchat every Friday morning and is the Automotive, energy correspondent for The John Batchelor Show and a Contributor to Automotive Electronics magazine headquartered in Korea. Hammond is a founding member of the Women's World Car of the Year #WWCOTY, and the Concept Car of the Year, and former member of the North American Car and Truck of the Year #NACTOY. She is a guest contributor for Via Corsa magazine and Vicarious magazine.