Toyota to Suspend Production at Half of Its Factories Due to Obvious Reasons

Toyota isn't changing its annual production target 6 photos
Photo: Toyota
Toyota's European Manufacturing Plants and OperationsToyota's European Manufacturing Plants and OperationsToyota's European Manufacturing Plants and OperationsToyota's European Manufacturing Plants and OperationsToyota's European Manufacturing Plants and Operations
The chip shortage makes no exception when it comes to the disruptions it causes to carmakers across the world, and just as expected, industry giants are impacted as well.
Toyota, for instance, has already suspended several production facilities throughout the year, and now it’s turning to a similar approach in October.

The reason is the same one as before. The semiconductor shortages, the health issue that still causes problems in the supply chain, as well as a series of other factors, all are forcing Toyota to suspend production at no less than half of its plants in Japan.

The company has confirmed that next month, the company plans to temporarily shut down the operations at ten lines in seven plants (out of 28 lines in 14 plants).

The production of several key models, including the GR Yaris, the Corolla Sport, the Land Cruiser Prado, the 4Runner, the RAV4, the FJ Cruiser, and multiple Lexus nameplates is impacted.

The temporary suspensions will come into effect beginning on October 3 at the Motomachi Plant and will continue until October 28, when the Hamura Plant will go offline for one full day.

Toyota explains that all these production struggles are caused by difficult semiconductor inventory, revealing that its monthly production plan is being adjusted as well.

The company originally planned to manufacture around 900,000 units per month between September and November, but due to the impact of semiconductor shortages, it’s now dropping the target to 800,000 units. Toyota plans to build 250,000 units in Japan and 550,000 units overseas.

However, despite all these challenges, Toyota isn’t changing its annual target. The company still wants to build 9.7 million vehicles during this fiscal year, so it now expects to recover and therefore accelerate production after November. This means Toyota is still confident the chip inventory would improve towards the end of the year, though the consensus right now is that the semiconductor supply will continue to be challenging throughout 2023 as well.
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About the author: Bogdan Popa
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Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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