Toyota Subsidiary Embroiled in Emissions Fraud Scandal

Hino Motors, a subsidiary of Toyota Motor Corporation, has agreed to plead guilty to engaging in a criminal conspiracy to mislead regulators and consumers that violated federal environmental laws and endangered public health.

The U.S. Justice Department, Environmental Protection Agency (EPA), FBI, Customs and Border Protection (CBP), Department of Transportation’s Office of Inspector General (DOT-OIG), National Highway Traffic Safety Administration (NHTSA), and State of California have reached criminal and multiple civil resolutions with Hino Motors, Ltd., Hino Motors Manufacturing U.S.A., Inc. and Hino Motors Sales U.S.A., Inc. (collectively, Hino) for violations related to the submission of false and fraudulent engine emission testing and fuel consumption data to regulators and the illicit smuggling of engines into the United States.

The unlawful conduct allowed Hino to improperly secure approvals to import and sell, and cause to be imported and sold, more than 110,000 diesel engines in the United States from 2010 to 2022. These engines were primarily installed in heavy-duty trucks manufactured and sold by Hino nationwide.

Hino, a subsidiary of Toyota, will plead guilty to violating federal environmental laws and endangering public health. The company will also pay over $1.6 billion to resolve the emissions fraud scheme.

‘Hino knew the requirements that engines must meet to be certified to operate in the United States, yet it falsified data for years to skirt regulations,’ said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division (ENRD). ‘Hino’s actions led to vast amounts of excess air pollution and were an egregious violation of our nation’s environmental, consumer protection and import laws.’

The resolutions are subject to approval by the U.S. District Court for the Eastern District of Michigan. The case highlights the importance of enforcing environmental laws and protecting public health.

Defendant: Hino Motors, Ltd., Hino Motors Manufacturing U.S.A., Inc. and Hino Motors Sales U.S.A., Inc.

Criminal Charges: Engaging in a criminal conspiracy to mislead regulators and consumers that violated federal environmental laws and endangered public health.

City and State: Michigan

Exact Date: N/A (subject to approval)

Sentence or Outcome: Pleading guilty and paying over $1.6 billion

Dollar Amounts: $1.6 billion

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