Toyota Motor Corp. said on Tuesday it was cutting March's surplus production due to a shortage of semiconductor chips. The announcement comes just days after the Japanese carmaker announced a 20% reduction in its production target for the April-June quarter.
The company has said it will suspend production on a single line in a factory for a full week from March 22. This is in addition to the suspension of production at the two factories announced last month. A Toyota spokesman said mini van production would be affected by the latest suspension.
Last week, Toyota said it would cut production in the April quarter to ease pressure on a supplier of microchips and other parts.
The news came after Toyota announced on Monday that it was halting production at a plant in the Chinese city of Angchon due to recent restrictions on Code Nineteen.
The spokesman said that despite the cuts, Toyota would maintain its production target of 8.5 million vehicles for the full year.
The global shortage of chips has hit companies ranging from smartphones to consumer electronics and carmakers, forcing other companies, including Toyota, to cut production despite rising raw material prices.
Toyota, Volkswagen and other carmakers have already halted production at their Russian plants due to supply chain disruptions following the invasion of Ukraine.
