Toyota will also cut production in November due to dire shortages of chips and other parts in the global auto industry. Due to the shortages, Toyota’s factories are already not running at full capacity.
Toyota will cut production by about 15 percent next month. Previously it was planned to make 1 million cars, but that will now be 850,000 to 900,000 vehicles, the company said. The group gets chips and other parts from countries such as Malaysia and Vietnam, but the supply has been disrupted due to a revival of the corona pandemic and new restrictive measures. In addition, Toyota is suffering from power shortages in its factories in China, which hinders production. Toyota is sticking to its production target of 9 million cars for the entire fiscal year, which runs to the end of March.
Although this is of course a setback, Toyota is doing quite well in itself. In the second quarter of this year, Toyota’s first quarter of its broken fiscal year, it made a record profit. Nevertheless, Toyota saw no reason to raise its profit forecast for the rest of the year, because it was already taking into account persistent uncertainties due to the spread of the corona virus, high material prices and chip shortages.
– Thanks for information from Autoweek.nl