Toyota-led tech group expels Hino Motors

The Commercial Japan Partnership Technologies Corporation (CJPT) has expelled Hino Motors (Hino) in light of Hino's misconduct concerning certification testing. Toyota is a shareholder in Hino Motors.

Since its establishment in April 2021, the CJPT has been working in the field with its partners to accelerate the spread of CASE, thereby aiming to contribute in achieving a carbon neutral society and reducing the burden on drivers and workers.

The scandal first surfaced in March.

Akio Toyoda, President of Toyota Motor Corporation (Toyota), suggested that the misconduct committed by Hino is incompatible with CJPT's aspirations and goals and that the continued inclusion of Hino in activities will not gain the understanding of its customers and the public. With this suggestion taken into consideration, the decision was made after discussion within CJPT.

Specifically, Hino will be excluded from all agreements, including the joint planning agreement, and Hino's equity stake (10 percent) in CJPT will be transferred to Toyota. In the projects that CJPT is currently working on, such as the previously announced social implementation in Fukushima and Tokyo, Hino will play a minimal role to not cause inconvenience to CJPT's customers.

In a state, Toyoda said: "As the parent company and a shareholder of Hino, we are extremely disappointed with the company's misconduct in relation to the certification testing, which has greatly undermined the trust of our customers and all other stakeholders. Hino has committed misconduct in engine certification for a long period of time, and the company is in a situation where it is not to be recognized as one of the 5.5 million individuals in the Japanese automotive industry.”

Five years ago, Hino Motors and Ashok Leyland Ltd had entered into a Mutual Cooperation Agreement (MCA) where Ashok Leyland would utilise Hino’s Euro-VI compliance engine technology for Ashok Leyland’s new BS-VI (EURO-VI) development, and Hino would receive support Ashok Leyland in development of Hino’s engine parts purchasing in India for global operation.

Earlier, Hino had entered the Indian market in 2008 as Hino Motors Sales India, a 65:35 joint venture between Hino Motors Japan and Marubeni Corporation of Japan.

CASE technology

The CJPT is a project to build the future together, based on Japan's CASE or (Connectivity, Autonomous, Sharing/Subscription and Electrification) technology. Suzuki and Daihatsu are also part of the CJIPT.

Toyoda said: We believe that Hino's participation will cause inconvenience to stakeholders, and we have decided that it is appropriate to expel Hino from CJPT. This conclusion was reached after discussions with the companies involved. We will continue to work with our partners on the project to solve the issues facing the transportation industry and contribute to achieving a carbon neutral society."