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China Auto Industry Trying to Learn a Lesson from Toyota

Setting quality guidelines for the auto manufacturing industry

Raissa Carey
Thu, 03/18/2010 - 10:53
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The rapid expansion of the Chinese auto manufacturing industry has become a concern for the Chinese government, especially after the latest episodes with Japanese automaker Toyota, whose CEO has admitted to the world that the company’s fast growth damaged the safety and quality of its vehicles, leading to thousands of recalls worldwide and consequent loss of revenues in the near future.

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In China, the auto industry made 1.61 million units and sold 1.66 million in January alone, a whopping 143 percent and 124 percent increase respectively over the same month last year, according to data from the China Association of Automobile Manufacturers (CAAM).

“China and the automobile industry should learn a lesson from this [Toyota recalls] incident, and at the same time, associations are carefully studying the lessons of this incident and will make recommendations to enterprises within the industry to promote a healthy development of China’s automobile industry,” CAAM notes in a statement.

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