Tokyo, Japan – Daihatsu, a subsidiary of Toyota, has announced the suspension of domestic production after admitting to falsifying safety test results for its vehicles for more than three decades. The company, known for producing small passenger cars, has stopped production at all four of its Japanese factories, affecting around 9,000 employees.

The suspension is projected to last until at least the end of January, with the company ceasing all domestic and international vehicle shipments as it consults with authorities on how to proceed. This decision comes on the heels of an independent third-party committee uncovering evidence of tampering with safety tests on as many as 64 vehicle models, including those sold under the Toyota brand.

The recent scandal is a major blow to Daihatsu, which previously admitted to violating standards on crash tests for over 88,000 cars, mainly sold under the Toyota brand in countries such as Malaysia and Thailand. The company continues to grapple with the fallout from these revelations as it faces deepening scrutiny and further damage to its reputation.

In response to the crisis, Toyota has pledged to undertake a fundamental reform of its subsidiary, recognizing the severity of Daihatsu’s neglect of the certification process. The company has emphasized the need for sweeping changes in management, operations, and overall structure to revitalize Daihatsu.

The safety testing scandal has already had a significant impact on Toyota’s stock, which dropped 4% in Tokyo following the news. Both Daihatsu and Toyota face a long road ahead as they navigate the fallout from these revelations and work to restore trust in their products and operations.