Growing too quickly at unsustainable speed leads to Toyota's fall

• Source: Xinhua
• [09:15 February 11 2010]
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Regarding the potential benefits for US automakers, Russo believes that the beneficiaries are most likely other foreign brands, including Honda, Hyundai, Nissan and even Volkswagen.

"Although American car companies may experience some near-term gains, it remains to be seen whether they will experience any permanent advantage from this situation," he said. "Of course, they will seize this opportunity to create incentives for Toyota owners to switch to their products. However, American consumers who have switched to foreign brands rarely return to American brands."

Asked about the role of the US government in this case, Russo said: "The US Department of Transportation must act in the interest of the consumer, and have been placing a great deal of pressure on Toyota to address the quality problems. They are also in direct discussions with Toyota's senior leadership to determine the full extent and cause of the problem."

In addition, he said that the US National Highway Safety Administration is looking into whether the company's electrical systems may have contributed to the problem of uncontrolled acceleration.