Photo: hereandnow.wbur.org
Toyota is undergoing a major restructuring process right now, and part of this is a major switch from Japanese production to facilities all over the world. In fact, most automakers from the land of the rising sun are having to do this in order to cope with the strong yen, which is making exports too expensive.
According to Bloomblerg, Toyota is demanding that its Japanese parts suppliers slash their prices. If they can’t, the automaker will be forced to switch to overseas rivals.
“The high yen must be pressuring Toyota to review its supply chain and to seek cheaper options,” Hiroshi Ataku, an analyst at IHS automotive in Tokyo said.
Nissan’s CEO Carlos Ghosn has announced major production cuts in Japan and says the local industry faces a “hollowing out” if the government doesn’t directly target the yen.
“The high yen must be pressuring Toyota to review its supply chain and to seek cheaper options,” Hiroshi Ataku, an analyst at IHS automotive in Tokyo said.
Nissan’s CEO Carlos Ghosn has announced major production cuts in Japan and says the local industry faces a “hollowing out” if the government doesn’t directly target the yen.
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