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At GM, only 55,000 Pontiac Vibe hatchbacks sold in the U.S. and Canada are being recalled. The 2003 models are nearly identical to the Toyota Matrix and were made at a California plant that was jointly run with Toyota. BMW says it's researching the problem but no numbers or models are available. The automakers said they would inspect the air bag inflators and replace them if necessary at no cost to owners. The air bag problem happened because of two human errors during production. A worker forgot to turn on the switch for a system weeding out defective products, and parts were improperly stored, which exposed them to humidity, according to Honda spokeswoman Akemi Ando. The recall is Takata's largest since 1995, when nine automakers had to repair faulty front seat belts in 9 million cars sold from 1986 through 1991. Alby Berman, spokesman for Takata in North America, acknowledged that the company's image may be hurt. But he said Takata has produced millions of reliable air bags and should have enough capital with manufacturers to withstand the publicity. But Newton said Takata, which gets 75 percent of its revenue from outside Japan, runs the risk of losing out on new supply contracts. Takata stock plunged as much as 15 percent before closing down 9 percent in Tokyo. Toyota, Honda, Nissan and Mazda shares rallied in Tokyo, shrugging off the recall.
[Associated
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