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Car rental firms react by withdrawing Toyota models

Toyota’s reputation could be severely dented given the slow manner the company has dealt with the faulty accelerator pedals in their cars. The embroiling crisis engulfing Toyota has plunged to new depths with major car hire firms pulling the auto manufacturer’s models from their rental fleets, with US authorities launching a fresh safety probe, just as the carmaker estimated the crisis has already cost £1.3 billion. The new twist in the drama witnessed Toyota suffering another terrible day on the global stock markets, with a total of $30 billion being wiped of the company’s vale since the crisis began. The world’s largest car manufacturer has been running a global recall of eight million cars, including 180,000 in the UK.  The company is attempting to ease customers’ fears over safety by placing adverts in newspapers and posting videos online. The company’s UK managing director Miguel Fonseca said that he wanted to complete the UK recall within eight weeks, in spite of the parts needed for the repair not arriving from Japan until next week.  Toyota service centres will be prioritising recall work as well as working extended hours and weekends. Toyota yesterday predicted that the total cost of the crisis around the world would be $1.1 billion in repairs and $900m in lost sales in the first three months of the year. This is a further blow as it was revealed that Avis-Budget has taken over 20,000 Toyota’s out of circulation and Hertz is likely to remove even more.
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