Under delta variant, supply chain strains, Toyota slashes production
TOKYO – Toyota is scaling back production in North America and Japan as the surging coronavirus pandemic in Southeast Asia and elsewhere crimps supplies.
Japan’s top automaker said Thursday that it will cut back production at home by 40%, affecting 14 auto assembly plants in the country.
In North America, Toyota said it expects August production to be slashed by 60,000 to 90,000 vehicles.
A representative from Toyota said that output fluctuates month to month, but that it would equate to a production cut of between 40% and 60%.
“Due to COVID-19 and unexpected events with our supply chain, Toyota is experiencing additional shortages that will affect production at most of our North American plants,” the company said in a prepared statement Thursday.
“While the situation remains fluid and complex, our manufacturing and supply chain teams have worked diligently to develop countermeasures to minimize the impact on production.”
The company said production cuts in North America are not expected to have an impact on staffing levels.
In Japan, production will halt completely next month at some plants and partly at others, affecting a wide range of models, including the Corolla subcompact, Prius hybrid and Land Cruiser sport utility vehicle.