Toyota Lobbying Spend Drops During Recall Crisis

Edward Niedermeyer
by Edward Niedermeyer

You might think that, when confronted with its first major quality crisis, Toyota would have responded by upping its spending on DC lobbying. After all, when Washington has painted a target on your back, it’s usually a good time to hire a few well-connected friends. But then, a good deal of the congressional scrutiny aimed at Toyota has focused on the company’s lobbying efforts in the first place, especially after the House Oversight Committee leaked Toyota briefing document s that showed the company had successfully negotiated away penalties for defects. Perhaps then, Toyota’s decision to reduce lobbying spending in the first quarter of this year was a reaction to accusations that the automaker manipulated the NHTSA. Or maybe the Japanese firm simply decided that its huge lobbying budget simply wasn’t winning it any friends. In any case, Automotive News [sub] reports that Toyota spent a mere $880k on lobbyists last quarter, down nearly a third from its $1.3m Q1 spend in 2009. And, according to the Toyota report cited by AN [sub], defect recalls don’t even enter into the equation, as Toyota merely

lobbied the House and Senate on such issues as making it easier for workers to unionize, patents, financial regulation and energy matters

Meanwhile, as the image above proves, Toyota wasn’t going to be able to match the lobbying power of a GM anyway.

Edward Niedermeyer
Edward Niedermeyer

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 4 comments
  • B1msus93 B1msus93 on Apr 22, 2010

    who were these related labor unions? By the way, GM spent $1.36M this Q. edit: It says the labor unions "include" Toyota related ones.

  • 1996MEdition 1996MEdition on Apr 22, 2010

    OK....I guess the $16.4M technically isn't considered lobbying....

  • John Horner John Horner on Apr 22, 2010

    I wonder how much Toyota spends influencing the government in its home country?

  • Fincar1 Fincar1 on Apr 22, 2010

    ...and as far as having a target painted on your back, if you are in any private business of any size in the United States, the government has you in mind as a target for verbal abuse, more taxes, and regulations. Toyota's no different, it just has a better-known name.

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