Toyota, which introduced generous incentives in a bid to attract customers after a string of recalls, said yesterday that its sales in the United States probably rose by a third in March.
The disclosure by Mr James Lentz, the president of its American sales operations, came as the federal government said it was calling in experts from Nasa and the National Academy of Sciences in an effort to discover what led to the sudden acceleration problems that forced recalls of more than 8 million vehicles worldwide since September.
Meanwhile, in Japan, the car-maker held the first high-level meeting of executives charged with overseeing safety and promised to listen more carefully to customer complaints.
Toyota recalled the vehicles to repair gas pedals that could jam or get caught in floor mats and to fix software flaws in its high-technology braking systems. The company has repaired 1.2 million of 1.9 million vehicles recalled in the US for potentially sticky pedals, Mr Lentz said.
Reports of runaway Toyotas and criticism of the company’s slow handling of defects hurt sales, generated lawsuits and prompted Congressional hearings into the response by Toyota and the National Highway Traffic Safety Administration.
In the US, sales fell 9 per cent in February from last year, while sales in the European Union fell 20 per cent in February from a year earlier.
This last month, Toyota introduced lease deals and interest-free loans on its vehicles in the US, apparently to a strong response. Mr Lentz, speaking on the eve of the New York International Auto Show, said that sales rose 30 to 35 per cent this month, compared with last year. Carmakers report March sales figures on tomorrow.
One beneficiary is the RAV4, a small sport utility vehicle. Toyota sold 22,000 in March, Mr Lentz said, compared with 6,500 last month, when Toyota’s incentives had not yet had a significant impact. “Maybe we overdid the incentives,” he joked.
Asked how long it would take before Toyota could repair damage to its brand, Mr Lentz replied: “I don’t think it’s decades. I think it’s a matter of time.” THE NEW YORK TIMES
Source:http://www.todayonline.com/World/EDC100331-0000075/Warming-up-to-Toyota

