Japan's Kobe Steel may find more data fabrication cases, no recalls plan

BY APD NEWSOct 12,2017 at 18:51

The chief executive of Kobe Steel Ltd. warned on Thursday that there may be further cases of falsified data than those having been previously disclosed, in a widening scandal over its inspection data that has affected hundreds of companies.

Following revelations that the embattled steelmaker had falsified data for its iron powder, aluminum and copper products that has affected companies ranging from automakers to airplane manufacturers, Kobe Steel Ltd. Chairman and President Hiroya Kawasaki said there could be more cases contributing to the unfolding scandal.

"There are suspicious cases in Japan and abroad that could involve further wrongdoing, as the ongoing investigation has not been completed," Kawasaki told a press briefing on the matter, following a meeting with an official from the trade ministry.

Kobe Steel has already admitted that its products, with falsified data about their strength and durability, have already been sold to around 200 companies globally, with the depth of the scandal so damaging that the government here has ordered the steelmaker to report the results of new safety checks within a fortnight.

Kawasaki, stating that no recalls on products will be made at the moment, said in his first public appearance since Sunday's revelations, that the results of safety inspections on shipped products would be made within two weeks and details of the firm's response to products undergoing false inspection data given.

He added that the root cause of the extensive scandal, that has affected auto giants such as Toyota, Mazda and General Motors, would also be made known within a month.

Kawasaki did not rule out the possibility that Kobe Steel might be liable for compensation claims.


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