Nissan to Halt Production of cars

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Little time has passed since Japan’s third-largest steelmaker company, Kobe Steel, admitted that it faked the data about the quality of products it sold to companies throughout the world in the last decade. It is to be noted here that the steel company sells its products to companies where security is deemed most vital, such as airplane manufacturing companies. After the news came to light the shares of Kobe Steel fell drastically. And now another big news has descended upon us from a different Japanese company.

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According to media outlets, Nissan Motors, Japan’s second largest automobile production company has suspended the domestic production of vehicles on all of its six assembly plants for the Japanese market for two weeks to look into the matter of misconduct in the final inspection procedure of its cars. The news came in after the company had already recalled 1.2 million vehicles for re-inspection purpose.

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Earlier this month the transport ministry of Japan revealed that it had discovered that uncertified technicians at Nissan’s production plant used the official stamp of certified technicians to conclude the final inspection of the vehicles.

Nissan made the big decision after a third party investigators found that misconduct in inspection section, at three of its Japanese plants even after the company had taken a step to end it, was still being done.

Nissan didn’t make a big fuss about it and acknowledged the fact that staff without proper authorization had done a final inspection on vehicles for the domestic market, which is an apparent violation of country’s transport ministry requirements.

CEO of the company Hiroto Saikawa while addressing to the media at company’s headquarter said that the measures which the company took were not enough, and we failed to change our old habits.

AFP - Nissan Motors CEO Hiroto Saikawa bows to start a press conference on the recent inspection issue in the Japanese market at its headquarters in Yokohama on October 19, 2017.
AFP – Nissan Motors CEO Hiroto Saikawa bows to start a press conference on the recent inspection issue in the Japanese market at its headquarters in Yokohama on October 19, 2017.

It turns out that the time for Japanese manufacturers is not good at all. One after another scandal just keeps popping out of thin air which is tarnishing the image of Japan as a maker of the quality product. While on the other hand, some analysts are suggesting that Japanese manufacturer is feeling desperate and vulnerable due to rising Chinese brands and products in the market. And that is why to compete with Chinese brand in quantity they have been making huge mistakes.

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