Japan carmakers recall 3.4 million vehicles

Four Japanese automakers including Toyota Motor Corp, and Nissan Motor Co are recalling 3.4 million vehicles sold around the world because airbags supplied by Takata Corp are at risk of catching fire or injuring passengers. The move announced on Thursday is the largest recall ever for airbags made by Takata, the world's second largest supplier of airbags and seatbelts. Shares of Takata tumbled almost 10 percent in Tokyo trading.
The recall is the largest since Toyota pulled back more than 7 million vehicles in October. The scale of the recent safety actions underscore the risk of huge global supply chain problems as automakers increasingly rely on a handful of suppliers for common or similar parts to cut costs, analysts have said. The recall covers some of the top-selling Japanese cars, including Toyota's Camry and Corolla, and rivals like the Nissan Maxima and Honda Civic. All of the vehicles in question were manufactured in or after 2000. The recall is the largest for Takata since 1995 when the Tokyo-based company was involved in a recall of over 8 million vehicles because of defective seatbelts. The faulty airbags were manufactured between 2000 and 2002 in a Takata factory in Mexico.