Toyota recalls 122,000 cars in China

[amg]

December 26, 2008

Japanese carmaker Toyota began a recall of nearly 122,000 cars in China due to defects that could lead to steering failure, the Chinese government and the automaker said.

The recall covers Crown, Reiz and Lexus models, said a statement posted on the website of the General Administration of Quality Supervision, Inspection and Quarantine.

The company would contact car owners to have their vehicles examined at Toyota dealerships or garages, the statement said.

In Tokyo, a spokesman for Toyota said the company was carrying out the recall in China in accordance with local regulations.

The company declined to disclose the cost associated with the recall.

The recall comes after Toyota said it expected an operating loss of Y150 billion ($A2.42 billion) for the financial year to March 2009, its first loss since it started reporting annual earnings in March 1941.