10:37 am, August 19, 2021
Toyota has cut its global production by 40 per cent for next month as the car building industry continues to wrestle with the ongoing semiconductor crisis.
The Japanese firm has performed better throughout the crisis than many of its rivals due to a stockpile of semiconductors bought after the 2011 Fukushima earthquake.
However, even Toyota is now feeling the pinch of the worldwide shortage and has taken the decision to reduce production in September, the Nikkei Business Daily reports.
The firm was previously aiming to build around 900,000 vehicles next month but has reduced that to roughly 500,000.
However, bosses are still aiming to sell 8.7m cars globally for the financial year ending in March.
Production will temporarily cease at domestic factories in Japan including Toyota’s Takaoka plant in Aichi Prefecture.
Numbers are also likely to be scaled back by tens of thousands of units in North America, China and Europe.
Toyota, which posted a record-breaking profit of £5.9bn in the second quarter, last month at three factories in Thailand due to stock shortages which came as a result of the pandemic.
Some of the company’s other production lines across Asia have already been temporarily halted due to Covid-19.
Earlier this year, Jaguar Land Rover paused production of both the Defender and the Discovery due to the semiconductor shortage.
A string of other brands have also been forced to halt or slow production as a result of the crisis.
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