General Motors Checking Kobe Steel data Cheating Effect

General Motors Checking Kobe Steel data Cheating Effect

General Motors (GM.N) is checking whether its car contains false certified parts or components from Japan’s Kobe Steel. And Kyodo News reported on Thursday, the latest major carmaker to be dragged into the scandal.

“We are aware of the data falsification and examining its impact,” Kyodo cited the company as saying in response to queries. GM could not be immediately contacted for comment.

GM joins up to 200 other companies, including Toyota Motor Corp., as well as parts from Kobe Steel, as the scandal reverberates through the global supply chain.

Wednesday, the new revelation shows that iron and steel enterprise data fabrication is more extensive than originally said, because the company joined in recent years to recognize similar misconduct in the list of Japanese manufacturers.

While, the investors are worried about financial impact and potential legal effect, once again selling Kobe Steel shares, in two days a substantial reduction in the market value of 1.6 billion.

Source: Reuters

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