Toyota cuts production for third time; ? microchip deficiency

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Bad news for the well-known Japanese manufacturer and for the whole Automotive market. Toyota has decided that taglier & agrave; global production in November . It is an event that is now happening for the third time and the reasons are attributable to the pandemic and the global shortage of microchips. Toyota spokespersons are downplaying, however, pointing out that the next cut will not have; more effects serious than expected and will be; less painful than previously performed.

Additionally, the Japanese automaker is finally seeing signs of recovery on the horizon with regards to its earnings. Toyota will produce between 850,000 and 900,000 vehicles worldwide in November, with a 15% reduction from Toyota's planned production plan. The Company & agrave; expects production to resume since December 2021 and stated that far & agrave; everything possible to recover the most productive volume; ahead, in the fiscal year that will end March 31, 2022.

“We are now coordinating both internally and externally with our suppliers to see how much we can recover in December and in the months ahead,” said Kazunari Kumakura , Purchasing and Procurement Manager. & quot; We aim for a high production level for December. We will do our best to produce as many vehicles as possible. ”

Kumakura attributed the expected slowdown in November to microchip shortages and supply chain bottlenecks, triggered by the COVID-19 pandemic in Southeast Asia. The closures will affect four of the 14 Toyota factories located in Japan, including the assembly plants that produce the Toyota Camry, Corolla Sports, Yaris and C-HR, as well as the assembly plants that produce the Toyota Camry, Corolla Sports, Yaris and C-HR, as well as the production lines of Lexus ES and NX, UX and RX.

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