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Can’t stand it! 9 Toyota plants to suspend production

Professional Manufacturer of brass bearing

Affected by factors such as the spread of the new crown epidemic and the instability of the supply chain, Toyota Motor’s 9 factories and 10 production lines in Japan will face varying degrees of shutdown in May this year. On April 18, Toyota announced on its official website that many factories in Japan will be shut down for a few days in May, including the Takaoka Plant in Toyota City, Aichi Prefecture and the Tahara Plant in Tahara City, Aichi Prefecture. A total of 9 factories and 10 production lines , involving vehicles including Corolla, C-HR, RAV4 and Lexus LS, IS, RC, NX, CT, UX, etc. According to the news released by Toyota, among the 9 factories, the longest production line is the No. 1 production line of the Miyata Plant in Kyushu and the No. 2 production line of the Fujimatsu Body Plant. Both factories have been shut down for 6 days. The shortest time was the No. 3 production line at the Tahara Plant, which stopped production for only one day. Professional Manufacturer of brass bearing

In view of this, Toyota also officially announced that global production in May this year will be reduced by 10% to 750,000 vehicles, of which Toyota’s domestic production in Japan will drop to 200,000 vehicles, and overseas market production will drop to 550,000 vehicles. Toyota Motor said that the main reason for the decline in production was the impact of the new crown epidemic and semiconductor shortages.

Affected by this, the average monthly production from May to July this year is about 800,000 vehicles, in other words, from May to July 2022, Toyota is expected to produce about 240 vehicles. In this regard, Toyota stressed that due to the new crown epidemic and semiconductor shortages, it is difficult to predict the production situation in the next few months. Professional Manufacturer of brass bearing

On March 11 this year, a spokesman for Toyota Motor Japan said that Toyota Motor plans to reduce production capacity in the Japanese home market by 20% on the basis of the previous three months from April to ease the chip. and other parts shortages are putting pressure on suppliers. From April to June 2022, Toyota’s new production plan was lowered from the original 2.8 million to 2.5 million, a decrease of about 300,000 compared with the original plan, but a year-on-year increase of about 10% (April-June 2021 was 2.26 million), of which it was lowered by about 10% to 100,000 in May. Toyota’s global production in May will be reduced to 750,000 vehicles after the adjustment. As of now, it is not known whether Toyota’s sales in fiscal year 2022 will be affected by the suspension of production at various Japanese factories in May. Professional Manufacturer of brass bearing

According to Toyota Motor Group data, from January to February this year, Toyota’s global production was 1,371,887 units, and global sales were 1,453,494 units. Among them, Toyota’s global production in February this year was 740,996 vehicles, including 253,258 vehicles produced in Japan’s domestic market, a year-on-year increase of 4%, and 487,738 vehicles in overseas markets, a year-on-year increase of 15%.

In addition to Toyota, the production problems of many Japanese car companies are also in a serious state. The reason is also that the supply chain of some auto parts has been interrupted due to the spread of the new crown epidemic. On April 15, Mazda officially announced that: Affected by the closure and control of the new crown epidemic in Shanghai, the factories of Mazda’s cooperative enterprises have stopped production, and the supply of some parts and components has been interrupted. It will be closed for 4 days from the 21st to the 26th. In addition, in addition to the suspension of production at the factories of Mazda’s partner companies, logistics such as sea and air freight are also expected to be delayed. In fact, before this, Mazda’s two factories in Japan have announced the suspension of production twice this month. In addition to the 4-day suspension from the 21st to the 26th mentioned this time, Mazda’s domestic factories in Japan will suspend production for a total of 8 days this month. Professional Manufacturer of brass bearing

Previously, Mazda’s two factories in Japan had stopped production on April 4th, April 5th, April 14th and April 15th. On March 24th, Mazda announced that the factory in Hiroshima, Japan, and the Hofu factory will be closed on April 4th. Production will be suspended for two days until the 5th. On April 12, Mazda stated that due to the impact of the epidemic and other restrictions, the factories of Mazda’s cooperative enterprises stopped production, and some parts could not be purchased. Affected by this, Mazda’s Hiroshima head office factory and Hofu factory in Japan will be closed on April 14. Production will be suspended for two days until the 15th. According to previous reports from the automotive industry, Mazda’s two factories are located in the South District of Hiroshima City, Hiroshima Prefecture (Hiroshima Headquarters Factory) and Hofu City, Yamaguchi Prefecture (Hofu Factory). Judging from the reasons for the above three stoppages, Mazda stopped production three times this month, all of which were caused by the spread of the new crown epidemic, which caused logistics disruptions and shortages of auto parts. At present, Mazda has not disclosed whether the shutdown of the two factories on the 8th of this month will affect its subsequent production.

On April 7, Honda Motor announced that due to factors such as the spread of the epidemic and the shortage of parts, Honda Motor Japan’s main plant expanded production in April. Among them, the Suzuka Plant in Mie Prefecture reduced production by about 30%, and the Saitama Plant in Saitama Prefecture reduced production by about 30%. Factories will cut output by about 10%. After the production cut in April, the scale of the production reduction is 30% compared with the previous plan formulated in February. Professional Manufacturer of brass bearing

On April 5, Mitsubishi Motors stated that due to factors such as the new crown epidemic and the implementation of closure management in Shanghai (the Shanghai factory is a supplier of some parts of Mitsubishi Motors), the supply of parts has been interrupted. The production line in Okazaki City, Aichi Prefecture) will be suspended from April 11 to 15 for a total of 5 days.

In fact, since 2021, due to the sluggish supply of parts and the long-term unrelieved chip shortage under the epidemic, many Japanese car companies have announced shutdowns or production cuts, including Mazda, Mitsubishi Motors, and Honda Motor. Due to limited production capacity, the sales performance of these car companies is not satisfactory. The latest data shows that in fiscal 2021, which ended in March this year, domestic new car sales in Japan were 4.21 million, the lowest in 45 years. Among the eight major Japanese car companies, except for Mitsubishi, the sales of the other seven declined. Among them, Toyota fell by 9% and Mazda fell by 16%, the highest decline among the eight Japanese car companies. Professional Manufacturer of brass bearing

Public data shows that sales of new cars in Japan have experienced negative year-on-year growth for three consecutive years. The National Federation of Light Automobile Associations in Japan stated that in addition to semiconductor shortages, the epidemic in Southeast Asia has led to stagnation in parts procurement, and manufacturers’ factories have to stop or reduce production. , also affected the sales of new cars. It also said: “Semiconductor shortages and the continued stagnation of parts procurement from overseas, it is difficult to predict how long the impact on new car sales will continue.” It will be resolved quickly, possibly into the next fiscal year.”

Industry analysts pointed out that in addition to the impact of the epidemic, the Japanese auto industry supply chain was also affected by the rising prices of various electric vehicle raw materials caused by the conflict between Russia and Ukraine. In fact, the entire auto industry is currently facing rising raw material prices, tight parts supply chains and chip shortages. In addition to the short-term impact of chips on Japanese car companies, Volkswagen Group CFO Arno Antlitz previously said that it is expected that chips will still be in short supply and demand by 2024. Zipse, chairman of BMW Group, said that the semiconductor shortage in the automotive industry may continue into 2023, saying: “We are still at the peak of the chip shortage and expect to see an improvement from next year. , but the chip shortage will not be fundamentally resolved until 2023.” Professional Manufacturer of brass bearing

According to AFS data, as of April 17, the global auto market has reduced production by about 1.498 million vehicles this year. Among them, the output reduction in the Chinese auto market reached 92,000 units, accounting for 6.1% of the cumulative reduction in the global auto market. AFS predicts that the global car production reduction will climb to 2.2498 million this year, of which the European car production reduction will account for nearly half; the North American car production reduction will increase to nearly a quarter; the Chinese car production reduction will increase to 197,200. Professional Manufacturer of brass bearing

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