According to the Zhongtong Financial App, at Toyota's (TM.US) annual shareholders meeting on Tuesday, although Toyota's chairman Akio Toyoda and nine board members were successfully re-elected, his approval rating has dropped significantly due to the company's governance and certification testing scandal.

Although two main proxy advisers advised against re-election, Akio Toyoda was still re-elected, but his approval rating dropped to 72%, lower than last year's 85% and 96% in 2022.

Proxy advisor institutions, Investor Shareholder Services (ISS) and Glass Lewis, have questioned the way the company has handled testing violations, including for compact car manufacturer Daihatsu.

Some major foreign investors, such as US public retirement fund CalPERS and Canadian pension investor CPP Investments, opposed Akio Toyoda's re-election.

Analysts pointed out that the significant drop in Akio Toyoda's approval rating will not only damage his reputation, but may also prompt the company to further advance governance reform, and unlocking cross-shareholdings within the group could become one of the possible reform measures.

In early June, Toyota revealed that there were violations in six different vehicle certification tests, including three models that were still on sale at the time. Some tests were conducted under stricter conditions than government regulations, resulting in invalid test results. Since the news was announced, Toyota's stock price has fallen 10%, but it still up 18% this year.