In another PR nightmare for Toyota, Consumer Reports has issued a rare “Don’t Buy” rating to its Lexus GX 460 model because of handling problems that make the luxury SUV vulnerable to overturn. According to USA Today, Toyota is currently working on testing to attempt to fix the problem and will provide loaner vehicles in the interim to any current Lexus GX 460 owner who is concerned about the safety of the car.

According to Consumer Reports, the newly-designed rear end of the Lexus GX 460 is far too loose, causing it to slide too easily when a driver lifts off the gas while cornering. The magazines says that testing showed that the problem is so severe that the rear wheels can easily slide over a curb during tight cornering at fast speeds, causing the car to flip.

The “Don’t Buy” rating is the harshest ranking that Consumer Reports can give a product. The last time it was applied to a vehicle was in 2001.

Despite what analysts are calling a “rough market” for cars, both GM and Ford showed significant improvements in U.S. sales last month, according to figures calculated by Automotive News. GM’s sales were up 21 percent over the previous month, while Ford saw sales climb by 40 percent.

However, the news wasn’t rosy for all domestic car makers. After posting its first monthly gain in four years in February, Chrysler saw sales dip eight percent last month. Some foreign car makers also saw disappointing numbers despite sales growth. For example, sales of new Hyundais were up 15 percent from the previous month, a number that was far below analysts’ previous estimates of 30 percent growth.

Many of the sales increases were attributed to car dealers being forced to match incentive offers introduced by Toyota in March as a counter measure to the wave of negative press about the company’s global vehicle recalls.

As expected, Toyota Motor Corp.’s top executives faced a tough grilling from lawmakers during an appearance before a Congressional hearing yesterday into allegations that the company covered up potential safety defects and didn’t move quickly enough to fix problems.

As reported by the Detroit Free Press, Toyota CEO Akio Toyoda and Yoshimi Inaba, president and of Toyota Motor North America appeared before the U.S. House Committee on Oversight and Government Reform on Capitol Hill. Toyoda spent much of the three-hour hearing apologizing for errors that were made, saying the company took “full responsibility” for past mistakes and vowing to do a better job in the future.

However, the apology wasn’t enough for many lawmakers who expressed displeasure that neither Toyoda or Inaba explained why Toyota took years to address thousands of complaints about sudden acceleration problems with its vehicles.

“I am not satisfied with your testimony,” said Rep. Marcy Kaptur, D-Ohio. “I do not feel it reflects sufficient remorse for those who have died, and I do not think you have accurately reflected the large number of complaints that have been filed for more than a decade.”

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• Toyota president testifies before Congress (cnn.com)
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• Toyota Apologizes, Begins Fix on Other Hybrids (abcnews.go.com)

The problems keep piling up for Toyota. As the company struggles to do damage control from the recall of more than six million cars due to problems with stuck gas pedals, it today announced that it is also recalling more than 400,000 hybrid vehicles - including its popular Prius - to fix problems with the brake mechanism.

Many drivers have complained about delays when pressing their brakes, especially in cold weather or bumpy conditions. Toyota will fix the problem by installing new antilock brake software into the car’s onboard computer. The recall will impact 2010 Prius owners in the United States, along with lines such as the Lexus HS250h sedan and the Sai, which is only sold in Japan.

The Prius recall might not be the last obstacle Toyota has to deal with. Automotive News is reporting that the National Highway Transportation Safety Administration is reviewing claims of power steering failures with 2009 and 2010 Corollas. According to the publication, the NHTSA has received 83 complaints since April 2008, with the majority of the incidents claiming that the car veers sharply to the left or right at speeds of more than 40 miles per hour.

Bloomberg reports that auto leasing programs are starting over again as consumers are beginning to look for cheap ways to drive expensive cars. The story reports that both General Motors and Chrysler have restarted their previously-discontinued GMAC Financial Services leasing program, which had been stopped after demand for leasing fell in 2008. In addition, Ford and Toyota are both planning extended marketing pushes and promotions for their existing marketing programs.

“Leasing is really a critical piece of the business because people who lease have much higher loyalty to your brand,” Jim Farley, Ford’s group vice president of marketing, said in an interview. “This is something the dealers have been asking for for a long time.”

“Leasing is coming back,” Jeremy Anwyl, chief executive officer of researcher Edmunds.com of Santa Monica, California, said in an interview yesterday. He predicts the practice will soon account for 20 percent of U.S. auto sales, more than doubling from the first half of 2009. Increased used-car values are “making leasing more attractive,” he said.

Toyota plans a new green sports car

Toyota is planning on getting sporty at the upcoming Tokyo Auto Show as it will debut its new FT-86 sports car, which features green technology and a unique gasoline engine. Using a motor designed by Subaru, the FT-86 is based on the AE-86 model of Corolla-based sports cars sold in the 1980s.

The engine features pistons that are positioned horizontally instead of the vertical alignment that is standard in most engines. This allows the motor to sit lower in the frame, not only creating a more low-slung, classic sports car look but also resulting in a quieter drive.

In addition, enhancements to the technologies used on the FT-86 will mean that while it is a sports car, it can deliver fuel mileage similar to a standard coupe. The price will also be reasonable, with it expected to be sold in Japan for about 3 million yen ($33,700).

Go back a few years.. say like, 3-4 years, when the Honda Civic was not born. The Toyota Corolla totally ruled the segment. Some said that no other car can get near it. Some said that Corolla is a home of luxury. Some said Corolla is a business mans car. Yes, probably the most respected petrol car in the below 15Lakh category. Then.. comes Honda with a plan, the same plan that had introduced the Honda Civic in the same category as the Toyota Corolla. The Corolla lost its image, the fame, the looks, everything. Everything taken away by the Civic. On September 5th, the all new Corolla, christened the Altis will aim at competing with the Civic in all ways. Lets wait and see if renaissance does the job.

The Corolla Altis is like a mini Camry. Amazing styling, a very sporty front and a contemporary rear. The bumper is crafted well and matches the car, giving it a low and sporty appearance. The Altis will be equipped with a 1.8L petrol engine that produces a 132bhp of power. The Corolla will be available both in a 4-speed automatic and 5-speed manual transmission.
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Another spy pic from Team-bhp. It is eventually the home of all spy pictures. svsantosh, a BHPian caught a Toyota Yaris, totally naked, without badge, or anything, except a “going to fall” registration plate. Caught in Bangalore in heavy traffic. Inside say 2 south east asian, probably Japanese with laptop at the back seat with an Indian driver.
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