Toyota shares rise after carmaker fined $17.4m

<p>Shares in Toyota have climbed after the carmaker was issued a hefty fine for reporting safety issues late.</p>

Shares in Toyota have advanced in trading this afternoon (December 18th) after the Japanese carmaker suffered another blow in the form of a $17.4 million (£10.7 million) fine from US authorities for taking too long to report safety issues.

The company's hefty levy is the maximum allowed under US statute and this is not the first time it has been handed such a penalty.

Indeed, Toyota has been penalised four times in the past three years by US authorities, paying out almost $50 million in 2010 alone over its handling of recalls.

In November, the manufacturer said it would be recalling 2.7 million cars worldwide due to a steering and water pump system failure and in June it had to recall 150,000 vehicles for a window switch fault.

In 2009 and 2010, Toyota had to recall 12 million autos, which seriously dented the firm's reputation.

At 16:20 GMT on the Frankfurt Stock Exchange, shares in Toyota rose by 2.4 per cent to €33.50 per share.

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