Toyota’s truck manufacturing subsidiary Hino Motors will pay $1.2 billion to settle with US authorities over emissions data falsification, clearing a path for its delayed merger with Mitsubishi Fuso Truck and Bus, Nikkei reported.
The settlement with the Department of Justice, Environmental Protection Agency and other US regulators comes after a scandal that erupted in 2022, when Hino admitted to falsifying gasoline engine emission and fuel efficiency test data. The revelation led to widespread vehicle shipment halts in Japan and triggered class-action lawsuits across multiple countries.
Beyond the settlement amount, Hino faces an additional $300 million in recall and repair costs in the US market, pushing the total financial impact to $1.5 billion.
The resolution of these legal issues could revive the company’s merger plans with Mitsubishi Fuso, a deal that would create the world’s largest alliance in medium and heavy-duty trucks. The merger, originally targeted for completion by end-2024, was shelved due to uncertainty around potential fines and compensation payments.
The proposed combination with Mitsubishi Fuso, a unit of Germany’s Daimler Truck, centers on joint development of electric vehicles and next-generation propulsion technologies.
