Just finished my Master in Technology Management, sort of an MBA for Engineers. The major Japanese manufacturers do manufacter to a higher quality then American MFG. BUT, the definition of quality is " building to specifications" not "Better Car"
For instance, a Toyota is manufactured to higher quality than a Mercedes.

How can this be?
Isn't Mercedes a "High Quality" car?
Well, NO! When a toyota is coming off the assembly line, it is started, driven off and shipped. All the parts have been assembled correctly. When a Mercedes comes off the line, it has to be inspected and repaired (very often). They rehang doors to line up seams, redo dashboards, etc. When you buy it, it is a nice car. Off the line, it is terrible. The cost of repair off of the assembly line is what makes the Mercedes so expensive. (Remember the ad with a picture of white coated inspectors, "We don't sell a Mercedes till our 200 inspectors are satisfied". You can't inspect quality in.) In this perspective, a Toyota Echo is a "Higher Quality" car than a Mercedes (pick a model). Not necessarily more luxurious, but put together correctly.
American MFG's are trying to be like the Japanese, and have improved greatly, but the Japanese keep improving too. It is cheaper to build a car right the first time then to inspect and repair quality into it.
What is ironic, is Deming could not get Detroit (late 1940's)to buy into "quality" so went to Japan and taught them. It took 20 years for them to get "good" but that's how the Japanese grabbed market in the seventies. Detroit didn't start "Quality until the late 80's and are still trying to catch up.
FWIW