Islamabad, Mar 20, 2025: Hino Motors, a subsidiary of Toyota, has admitted to falsifying emissions data in the United States and will now pay $1.6 billion in penalties as part of a settlement with U.S. authorities.
The decision came after a federal court in Detroit accepted Hino’s guilty plea, exposing years of environmental violations.
Court Ruling and Penalties
A U.S. District Court judge ruled that Hino must pay a $521.76 million fine and will serve a five-year probation period.
During this time, the company is prohibited from importing diesel engines it manufactured into the U.S. Additionally, the court imposed a $1.087 billion forfeiture judgment against the Japanese truck and engine manufacturer. 
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Authorities have taken a strong stance against companies that manipulate emissions data.
Jeffrey Hall, acting enforcement chief at the U.S. Environmental Protection Agency (EPA), emphasized that companies violating environmental laws will be held accountable.
Decade-Long Emissions Violations
Hino acknowledged that between 2010 and 2019, it engaged in deceptive practices, including submitting falsified engine certification applications, manipulating emissions test data, and skipping required testing altogether.
An independent investigation in 2022 revealed that Hino had been involved in emissions fraud dating back to at least 2003.
In January, the company officially admitted to installing non-compliant engines in over 105,000 U.S. vehicles between 2010 and 2022.
As part of the settlement, Hino will invest $155 million in a mitigation program to offset excess emissions by replacing marine and locomotive engines.
Another $144.2 million will be allocated to recalling and fixing engines in 2017-2019 heavy-duty trucks.
Impact on Hino and the Auto Industry
Hino’s President, Satoshi Ogiso, stated that the company has since improved its internal compliance policies and corporate oversight.
To cover the costs of the settlement, Hino recorded an extraordinary loss of 230 billion yen ($1.54 billion) in its financial statements.
The scandal is reminiscent of previous emissions fraud cases in the automotive industry.
In 2015, Volkswagen was caught installing “defeat devices” in diesel engines to cheat emissions tests, leading to over $20 billion in fines and settlements.
Hino’s case serves as another reminder that regulatory agencies are intensifying scrutiny on automakers to ensure compliance with environmental laws
