Takata South Africa’s application for leave to appeal a Competition Appeal Court (CAC) ruling has been rejected.
In 2018, the Competition Commission referred the Japanese Takata Corporation and its local subsidiary – Takata South Africa (SA) – to the Tribunal for prosecution on 21 instances of collusive conduct.
This included price fixing, market division, and collusive tendering.
Takata SA subsequently excepted to all 21 referrals on the grounds that each referral failed to disclose a cause of action.
These exceptions were later dismissed by the Tribunal, prompting Takata SA to make several appeals that made their way to the Constitutional Court.
In its most recent attempt, the company approached the Constitutional Court seeking leave to appeal a CAC ruling handed down on 16 January 2025.
However, the court dismissed this appeal with costs in December 2025.
In a recent statement, the Competition Commission said that it welcomes the court’s decision to reject the application.
“The Commission expects the case against Takata SA to be heard on merits by the Tribunal in due course,” it said.
A name motorists are familiar with
Takata is a name that motorists will likely be familiar with, as this is the same company responsible for the infamous Takata airbag scandal that resulted in the recalling of more than 100 million vehicles worldwide.
The company used to be one of the largest suppliers of automotive components in the world, specializing in safety equipment like seatbelts, child restraints, and airbags.
At its peak, Takata held a 20% market share and supplied airbags to several car brands in various countries.
However, in 2013, a series of vehicle injuries and deaths in the United Stated were traced to Takata’s airbags, leading to a recall of over 42 million cars.
An investigation later found that the airbag inflators manufactured at Takata’s Monclova Plant in Mexico were defective.
This defect was due to the mishandling of explosive propellants and improperly stored chemicals used in airbags.
In a 2014 statement, Takata noted that there was a risk of moisture and humidity soaking into the airbags.
This resulted in the destabilisation of the volatile propellants, causing the airbag to rupture, explode, and send debris flying inside the vehicle.
Due to Takata’s widespread influence, the issue applied to millions of cars across multiple brands, resulting in recall campaigns that continue to this day.
South Africa was one of the many countries affected by the problem, as companies like Toyota and Stellantis are still running recall and safety awareness programmes to replace the defective airbags in their older models.