The launch of the Australia's first locally made hybrid car in Melbourne today -- the petrol-electric Camry mid-sized sedan -- was overshadowed by questions about Toyota's reputation for quality and safety in the wake of its overseas recall crisis and customer concerns over the braking system of the new Prius.
Toyota Australia has so far been unaffected by the accelerator pedal recalls in North America, China and Europe, which are all left-hand-drive countries.
But the pride of its fleet, the latest Toyota Prius, is "under investigation" for a recall because of complaints about the brake pedal feel both in Australia and overseas.
Toyota Australia is awaiting confirmation of a study in Japan before deciding whether or not to recall the latest, third-generation Prius, of which 1700 have been sold since July 2009.
"We are expecting some news hopefully in the next couple of days," says Toyota senior executive director of sales and marketing, David Buttner. "We follow to the letter of the law the process in Australia for any [recall] issue with vehicles. We are going through the process now. We'll complete the investigation and we will ensure we do the right the by the customer."
Buttner also revealed that the global president of Toyota, Akio Toyoda, the grandson of the company's founder, Kiichiro Toyoda, will lead a new "quality committee".
"He will personally head up that committee and invite in external parties to overview quality, and I think that's a very positive sign," Buttner told a group of about 40 media at the company's local design headquarters for the launch of the new hybrid Camry.
Buttner was at pains to separate Toyotas sold in Australia from those sold overseas.
"The recall that has been announced for the accelerator pedal does not affect any vehicle that has been imported into Australia or made in Australia," he said.
"The design of the accelerator pedal of the vehicles being recalled in the US, China and Europe, is totally different and is a totally different supplier, so we have been very fortunate to not have those issues affect our customers.
"And contrary to some reports, the brake pedal and system in the locally made hybrid Camry is completely different to the braking system in the new Prius."
He said the issue with Prius is not one of brake failure, but brake pedal feel.
"We have received two complaints [but] there have no accidents. They just don't like the inconsistent feel of the brakes. As I understand it, it's a calibration issue."
The problem for Toyota now is to restore faith among its typically conservative customer base -- and repair the damage to its image.
"I couldn't stand before you at pretend for a moment that the global situation that has received widespread coverage in Australia will not have some impact on the brand," he said.
"Reputation is something we take very seriously … and it's driven one customer at a time."
Toyota Australia now finds itself in damage control, and the company admits its dealers have been contacted by worried customers.
"Our dealers have been contacted by some customers and we are making sure that all our dealers are properly informed so they can inform our customers. To date, there is no news to tell them. There is no need for customer concern [but] we will continue to monitor this very closely."
Mr Buttner said he did not believe there was a "culture of secrecy" within Toyota and insisted that Toyota would take whatever action was necessary.
"Toyota's foundation stones have been quality, reliability and durability," he said. "We can spruik form the lecturns but at the end of the day it's the experience the customer has with the product. We will do whatever we have to do to maintain the faith of our customers."