HONG KONG — While President Akio Toyoda and his Toyota Motor Corp. search for the vehicle pedal that says "damage control," economists and political commentators are increasingly speculating whether the multimillion vehicle recall by Toyota presages the beginning of the end of Japan's mighty manufacturing machine.
Some economists claim that Toyota's accident could prove a good thing for Japan if it drives manufacturing away and re-engineers the economy toward services. Such an idea is premature and damaging unless and until Japan Inc. can remedy major economic and social defects.
More than Toyota's reputation was smashed in the recall of its vehicles, some for problems with a sticky accelerator pedal, others for braking difficulties. The sight of president Toyoda belatedly groveling apologies in Japanese and in English was enough to underline that the company and the country have serious issues to solve.