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the Toyota software gradually changed the engine setting until the vehicle produced more harmful emissions than were allowed by law
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I call BS on this.
what is much more likely is that the Toyota team didn't allow sufficiently for the aging of the engine and components so that the car still met emissions requirement when it was high mileage.
typically, when the car is calibrated, the brand new car is much, much better than the legal requirement, so that as injectors wear, seals start to leak, dpfs get partially blocked etc, the car still remains legal.