Toyota Set To Reduce April Global Production By 150,000 Units

Toyota will be undergoing an “intentional pause”, a term that its CEO Akio Toyoda coined back in 2010 during the global financial crisis. This will result in reduced global production for the month of April by 150,000 units to 750,000 vehicles.

During the period of April to June, which is Toyota’s fiscal first quarter, their global production will be reduced to an average of 800,000 cars per month–a reduction of 100,000 units from the previous months as a way to recover from lost production due to the still-ongoing chip shortage.

Under Toyota’s “intentional pause”, their revised production plans will be more reasonable and will be in line with recent realities. By doing this, Toyota aims to establish a healthy work environment that places the highest priority on safety and quality, rather than exceeding the capacities of facilities and pushing people to their limits.

“In addition to the shortage of semiconductors, the spread of COVID-19 and other factors are making it difficult to look several months ahead, and there is a possibility that the production plan may be lower. However, we will continue to closely examine the situation of parts supply and suppliers, and make every effort to reduce the scope of sudden production cuts as much as possible, to normalize the production plan, and to reduce the burden on suppliers,” Toyota said in an official statement.

These are the production suspension plans that Toyota will be implementing across its Japanese plants: