More Toyota Trouble

Toyota faces more trouble as they might have to recall their Corolla

2010 has not been a good year for the world's leading automaker. The prospect of the Corolla having a recall as well could kill sales this year, and the company will have to do a lot to regain the consumer's trust. Here's the problem with the Corolla:

U.S. safety regulators will launch a formal investigation of steering complaints in certain newer model Toyota Motor Corp (7203.T) Corolla vehicles, a government official familiar with the plan said on Wednesday.

The National Highway Traffic Safety Administration has received more than 150 complaints about possible steering problems in 2009 and 2010 Corolla models, the official said, speaking anonymously because the plan has not been announced.

It will be interesting to see how Toyota responds to these problems. They initially reacted pretty poorly, and it doesn't look like there will be significant improvement. I expect Honda, Federal Motors, or Ford to capitalize on Toyota's mishaps.