Hearing of the Consumer Protection, Product Safety, Insurance, and Data Security Subcommittee of the Senate Commerce, Science, and Transportation Committee - Opening Statement of Sen. Moran, Hearing on Update on NHTSA and Automaker Efforts to Repair Defective Takata Air Bag Inflators

Hearing

Good afternoon, and welcome to today's Consumer Protection Subcommittee hearing on the Takata air bag recalls, the largest and most complex series auto recalls in history. We are here today because of a simple but solemn fact: defective Takata air bags have resulted in the tragic deaths of 15 people, and have injured well over 200 more in the United States alone.

Vehicle safety is a core mission of this Subcommittee, and a great deal has transpired in the Takata recalls process since the Commerce Committee last convened a public hearing on this matter in June of 2015.

In fact, ten years have passed since the initial recall of some Takata air bag inflators. Thankfully, we now understand the underlying cause of the defect. As vehicles age, the threat increases. We have also learned that Takata misled both the government and the vehicle manufacturers. As a result, Takata agreed to a record $200 million civil penalty and a $1 billion criminal penalty. We are just now making progress to respond to these alarming recalls.

Congress, for its part, passed a number of recall reforms included in the FAST Act of 2015 in response to the Takata recalls and others around that time.

These provisions sought to improve consumer awareness by identifying part numbers in safety defect notices, requiring dealers to notify consumers of open recalls during service appointments, and improving NHTSA's website. They also tripled civil penalties for auto safety violations to a cap of $105 million. I am interested to hear today what impact those reforms have had on the overall Takata recall effort.

To appreciate the challenges involved in this recall process one need only to reference the sheer scope of it: 50 million air bag inflators in 37 million vehicles under recall by 19 manufacturers, numbers that are anticipated to continue to grow in a process that may play out for another 10 to 15 years.

It is imperative that all these recalled vehicles are repaired. Each of our witnesses today is here to provide insight into this process. We will be asking them not only for an update on the recall and remedy efforts for Takata air bag inflators, but also their plans to continue the progress made thus far toward full completion.

I am generally encouraged by what I have heard in recent months regarding the coordination and data-sharing between NHTSA, the automakers and other stakeholders, but clearly the results are mixed and there is much work left to be done.

Specifically, I am eager to learn more about the innovative approaches being used to reach the millions of consumers affected by these recalls. Every consumer is different and we must identify which methods are most effective in reaching each consumer to ensure their safety and that of their families.

I am pleased to welcome Heidi King, the Deputy Administrator at NHTSA and the agency's highest ranking official, to her first testimony before this Committee. Later on, we will be joined by a second panel of stakeholders who are also intimately involved in this recall effort.

I encourage everyone watching this hearing today to pay attention to recall notices on your vehicle and call the closest dealership for a repair. You can look up whether your vehicle is subject to open recall at www.NHTSA.gov.

Most importantly, I wish to offer my sincere condolences to those who have lost loved ones because of defective Takata air bags, including some in the audience today.

Once again, thank you all for being here today. With that I will turn to the Ranking Member of the Subcommittee, Senator Blumenthal, for his opening remarks.

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