Toyota and Honda under recall; Ford, GM, Chrysler answer with trade-in incentives

February 01, 2010

Two popular Japanese automotive brands have been taking a pounding lately.

In September 2009, Toyota announced that it would recall 3.8 million vehicles to adjust floormats that could cause accelerators to get stuck and lead to a crash. And just a few days ago, Toyota announced it is recalling 2.3 million vehicles to correct sticking accelerator pedals on specific Toyota models.

In response to these issues, Toyota dealers have temporarily suspended sales of eight models involved in the most recent recall for the sticking accelerator pedal. The recall and suspension of sales is confined to 2009-2010 RAV4, 2009-2010 Corolla, 2009-2010 Matrix, 2005-2010 Avalon, Certain 2007-2010 Camry, 2010 Highlander, 2007-2010 Tundra, and 2008-2010 Sequoia. Just today, Consumer Reports says, Toyota has announced that parts to reinforce the pedals are already being shipped to dealers, and dealer training is under way.

(No Lexus Division or Scion vehicles are affected by these actions. Also not affected are Toyota Prius, Tacoma, Sienna, Venza, Solara, Yaris, 4Runner, FJ Cruiser, Land Cruiser, Highlander hybrids and certain Camry models, including Camry hybrids, all of which remain for sale.)

While it is also included in the recall, General Motors defends the safety of the Pontiac Vibe, which was built in the same plant as the Toyota Matrix. “We ran the Vibe wide open at 60 miles an hour and the brakes were able to bring the vehicle to a safe stop within 169 meters, consistent with our internal requirement for brake performance,” said Martin Hogan, GM director of brake systems.

On top of all this, Honda is recalling 646,000 Fit hatchbacks (also known as the Jazz or the City, depending on the market) to fix a defective master switch. Honda's recall includes 140,000 vehicles in the United States as well as more than 500,000 models sold in South America, Europe, South Africa, and Asia. (No cars sold in Japan are subject to this recall). According to AutoBlog water can enter into the power window switch mechanism, which in certain instances could cause a fire. So far, two such conflagrations have been reported in the United States, and one other occurred in South Africa.

In the wake of these recall announcements, domestic manufacturers are offering special incentives to Toyota and Honda owners who want to trade in their vehicle to purchase a car from Chrysler, Ford, or General Motors.

In an incentive program with a tagline that says "Ford Quality can't be beat by Honda or Toyota," Ford http://www.fordvehicles.com/incentives/ is offering $1,000 in cash to Toyota, Lexus, Scion, Honda, and Acura owners who trade in their vehicles for Ford, Lincoln, or Mercury products. Ford will accept used vehicles or leases that expire by June 30 from these brands, and the vehicles being traded in must be 1995 model year or newer.

General Motors is promoting a similar program, offering the incentive to those who trade in a Toyota or Lexus product to purchase or lease a Chevrolet, Cadillac, Buick, or GMC vehicle. GM's incentive is good for owners of any Toyota vehicle -- not just the ones on the recall list -- and offers $1000 cash and up to $1000 in lease payments to terminate their Toyota lease, as well as 0% financing on an auto loan. General Motors is not extending the offer to Honda vehicles at this time.

Chrysler has also announced new incentives to lure Toyota customers towards its vehicles. Autoblog reports, "Through March 1, 2010, Chrysler is offering a $1,000 incentive for owners of the Toyota Sienna, Tacoma, and Tundra who wish to switch to a Chrysler, Dodge, or Jeep-branded truck." Those leasing a truck have options as well, not limited to trucks. Chrysler will offer a $1,000 discount to "for drivers with expiring Toyota leases who switch to any Chrysler, Dodge, or Jeep vehicle."

The programs being offered by Chrysler, Ford, and General Motors are good until the end of February; visit your local Chrysler, Ford, and General Motors dealer to get the exact details of each program.

Hyundai briefly offered $1,000 rebates to U.S. customers who trade in Toyota vehicles for its Sonata and Elantra sedans, and Elantra Touring wagon. The incentive was set to expire today, but may be extended.

By Brandy Schaffels
AskPatty.com Editor