Recognition of quality-related costs associated with the recall of vehicles equipped with products of our group
Our consolidated subsidiaries in the United States and China
Vehicles equipped with automotive seats manufactured by our consolidated subsidiaries in the United States and China, and the reclining mechanism of the rear (second-row) seats
The reclining mechanism of the rear (second-row) seats may have a defect
Approximately ¥16 billion (operating expenses)
The fourth quarter of the fiscal year ending March 2026
Reflected in results as operating expenses for the fiscal year ending March 2026
Related procedures
Recall notification
The US Department of Transportation's National Highway Traffic Safety Administration and China's State Administration for Market Regulation
The quality-related costs will be reflected in results as operating expenses for the fiscal year ending March 2026
| Item | Details |
|---|---|
| Event name | Recognition of quality-related costs associated with the recall of vehicles equipped with products of our group |
| Date of occurrence | 27 March 2026 (the date of the recall notification in China; the US notification was made in March 2026) |
| Subject Entity | Our consolidated subsidiaries in the United States and China |
| Target Locations / Products | Vehicles equipped with automotive seats manufactured by our consolidated subsidiaries in the United States and China, and the reclining mechanism of the rear (second-row) seats |
| Cause | The reclining mechanism of the rear (second-row) seats may have a defect |
| Amount of Impact on Business Performance | Approximately ¥16 billion (operating expenses) |
| Accounting period in which recognized | The fourth quarter of the fiscal year ending March 2026 |
| Impact on Earnings Forecast | Reflected in results as operating expenses for the fiscal year ending March 2026 |
| Type of litigation or proceeding | Recall notification |
| Court or authority | The US Department of Transportation's National Highway Traffic Safety Administration and China's State Administration for Market Regulation |
| Date of filing / date of action | 27 March 2026 (the date of the recall notification in China); the US notification was made in March 2026 |
| Outlook | The quality-related costs will be reflected in results as operating expenses for the fiscal year ending March 2026 |
Items this document does not state (13)
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.Customers filed recall notifications because vehicles equipped with automotive seats manufactured by our consolidated subsidiaries in the United States and China may have a defect in the reclining mechanism of the rear (second-row) seats.