Kobe Steel’s Falsified Data Is Another Blow to Japan’s Reputation

The company’s share price plunged more than 20 percent on Tuesday, the first day of trading after a holiday.

No deaths or safety incidents have been attributed to Kobe Steel, but the scandal hits a tender spot for Japan, which relies on its reputation for quality manufacturing while places like China offer cheaper alternatives.

“The falsification problem has become an issue that could destroy international faith in Japanese manufacturing,” the Japanese financial newspaper Nikkei said in an article on Tuesday.

Last week, Nissan Motor said unqualified staff members had carried out inspections at its factories, prompting it to recall 1.2 million vehicles, though it was not clear if the quality of the vehicles had been affected. Mitsubishi Motors and Suzuki Motor both admitted…

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