FILE – In this March 15, 2013 file photo, Indonesian workers assemble passenger cars at the new Toyota plant in Karawang, West Java, Indonesia after Toyota officially opened their second manufacturing plant in the country. Toyota is building two new auto plants, one in Mexico and the other in China, ending a three-year hiatus from such ambitions that the Japanese automaker voluntarily imposed on itself after a massive recall scandal. Toyota Motor Corp. announced Wednesday, April 15, 2015 it will invest $1 billion for the plant in Guanajuato, Mexico, creating 2,000 jobs, to make the Corolla subcompact – one of Toyotas biggest hits. (AP Photo/Tatan Syuflana, File)
TOKYO, Japan — Toyota said Monday that it would temporarily stop its vehicle production in Japan due to a parts shortage following an explosion at a supplier.
The world’s top automaker said assembly lines in its home market would go offline for a week from February 8 owing to a lack of components from affiliate Aichi Steel.
Overseas production would not be suspended, it added.
READ: Toyota to hike investments under scheme for PH cars | Toyota eyes 10% growth in 2016 sales
Toyota publishes its nine-month financial results this week. It did not say if the temporary production shutdown would affect its results in the current quarter.
“Operations are scheduled to recommence on February 15, and vehicle production on lines outside Japan will not be suspended,” the company said.
“Toyota will continue to take any measures necessary to minimize the impact of this incident on vehicle production.”
READ: Vehicle sales surged 23% to 288,609 units in 2015
Toyota said it may get parts made on alternate production lines operated by Aichi Steel and also could procure components from other steelmakers to meet its needs.
Aichi Steel, which produces specialty steel products among other items, was hit by an explosion on January 8 which badly damaged parts of its production site.
Aichi Steel is expected to return to full operation in March.
Toyota said it does not disclose its daily production plans, but the firm has said it produced 14,000 units a day in 2015.
The company, which surpassed Volkswagen in 2015 to keep the title of world’s top-selling automaker, produced more than four million cars in Japan last year and over 10 million worldwide.
At the Tokyo Stocks Exchange, Toyota shares rose 1.31 percent to 7,294 in early trade, mirroring the headline Nikkei index, which added 1.27 percent.
Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of Cebudailynews. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.
