Toyota Factories to Operate at Half Capacity Through June 3

The earthquake and tsunami that hit Japan on March 11 will continue to have a significant effect on production of new Toyota vehicles through the beginning of June. The automaker has announced that it will operate all its plants at half capacity from Monday, April 18 through June 3. Some plants had already resumed production at 50-percent capacity.

Toyota plans to reevaluate production capabilities in June, with the decision mostly hinging on whether key suppliers can provide enough parts. The plants also will shut down temporarily for Japan’s “Golden Week” holiday, which runs from April 28 through May 9. In a statement today, Toyota said it “deeply apologizes to its customers” for any delays “due to limited parts.”

Toyota production is already down at least 260,000 units since the earthquake, and analysts believe this latest decision will cost the company a further 120,000 new vehicles, according to Automotive News. The company is unable to obtain about 150 different parts, including those produced at a Renesas Electronics factory that was damaged in the quake.

Sources: Toyota, Automotive News

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