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Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

China

China

China

Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

2024-06-18 17:27 Last Updated At:18:27

The fraudulent practices by Japanese automakers during car certification operations have not only affected the country's auto industry but have also had far-reaching impacts, extending to associated enterprises and consumer trust, Kazuyuki Hamada, a Japanese international political economist, said on Monday.

Japan's transport ministry has uncovered that the country's five major automakers -- Toyota, Honda Motor, Mazda, Yamaha Motor and Suzuki Motor -- have been implicated in illegal fraudulent practices during their mass production certification applications.

Amid the brewing scandal, top executives of these companies made public apologies with follow-up measures, but the revelation, shocking both domestic and international communities, has raised concerns about its potential impact on Japan's automotive industry and the broader economy.

"The auto industry is a cornerstone of Japan's economy, and major automakers have numerous associated upstream and downstream companies, including both direct and indirect connections. These associated companies range from 1,000 to 2,000 and are distributed nationwide. When these leading companies engage in misconduct, the consequences extend beyond the scope of individual firms such as Toyota or Honda. It erodes the very foundation of Japan's economy, exerting an impact on its future growth," Hamada said.

According to the expert, the data falsification scandal among major automakers has shed light on the problems existing in the Japanese auto industry when confronted with new market demands, including responding sluggishly, seeking quick outcomes, and struggling with transformation.

The recent revelations surrounding Japanese automakers hastily submitting falsified or altered data to expedite verification processes and meet market demands have raised serious concerns. This troubling behavior, combined with the failure of government regulatory bodies to exercise effective oversight, poses a significant risk of eroding consumer trust in the industry in the long term, Hamada noted.

"This issue is not limited to automakers but extends to various industries in Japan, creating a perception that Japanese companies can manipulate things according to their own will. This perception undermines consumer trust and poses a significant challenge to all industries in Japan," Hamada said.

Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

Japanese automakers' fraud scandal has broad impact, affecting multiple parties involved: expert

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China's cruise ship passenger trips surge in first part of 2024

2024-07-14 04:50 Last Updated At:07:17

China's cruise industry saw a surge in passenger trips, reaching nearly 500,000 in the first half of 2024, data from the Ministry of Transport showed Saturday.

In the Jan-June period, 23 cruise ships operated 206 voyages, transporting the nearly half-million passengers. The number of passengers in the second quarter alone increased by nearly 60 percent compared to the first quarter.

The ministry also reported that in the first quarter alone, cruise passenger trips exceeded 190,000, surpassing the total of 107,000 trips recorded for all of 2023.

China's first domestically built large cruise ship, the Adora Magic City, embarked on its commercial voyage on January 1, 2024. The ship offers a variety of routes that include several ports in Japan and South Korea, with plans to expand to more countries around the world.

China's cruise ship passenger trips surge in first part of 2024

China's cruise ship passenger trips surge in first part of 2024

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