Toyota coupon scheme extended

• Source: Shanghai Daily
• [09:02 April 14 2010]
• Comments

Shanghai Toyota owners will receive compensation from the Japanese car maker to cover the recall of the defective RAV4 sport-utility vehicles.

The move comes after Toyota agreed the payments to car owners in Zhejiang Province. Zheng Tao, general manager of Toyota dealer Shanghai Trading Co said an average 100 yuan ($14.65) to 300 yuan worth of coupons would be offered to RAV4 owners in Shanghai, the same amount Toyota paid to consumers in Zhejiang.

"We have notified consumers by phone, and the scheme began on Monday," said Zheng, adding that owners could also opt to take advantage of certain car maintenance services for free.

Toyota announced a recall of 75,522 RAV4 SUVs in China in late January due to sticky gas pedals. In Shanghai, about 530 Toyota RAV4 SUVs are suspected of having the problem.

In late March, Toyota agreed to pay consumers compensation in Zhejiang, the only province in China that has legislation requiring companies to pay for car recalls.

If Toyota applied the compensation plan to all Chinese consumers, it could cost the auto giant 20 million yuan, Xinhua news agency said.