Toyota is targeting a record 9.7 million vehicles for the year ending March 2023. However, they also plan to downgrade its production plan.
Tokyo, First Published Jul 1, 2022, 2:32 AM IST
Tokyo: Global production of Japanese auto giant Toyota Motor Corp fell in May 2022 for the third consecutive month. HT Auto reported production of 634,940 vehicles last month, down 5.3 percent from a year earlier. The company had targeted 700,000 units.
In addition, Toyota’s sales in the first five months of 2022 fell 9.7 percent from their target. This has led to concerns about whether the auto company will be able to maintain its current target this year.
Toyota is targeting a record 9.7 million vehicles for the year ending March 2023. However, they also plan to downgrade its production plan. This is at a time when automakers, like other parts of the global automotive sector, are facing a crisis due to the impact of the microchip crisis. The Kovid epidemic and the chip shortage have hit the auto industry hard. This disrupted the entire supply chain, automotive production and sales.
Toyota initially performed well due to its large stock of chips during the global semiconductor crisis. However, production has had to be cut back this year due to a shortage of key chips and components and supply disruptions due to China’s Covid-19 control measures.
Meanwhile, the company has doubled its production target for June 2022. The latest projection is 750,000 vehicles, about 12 percent less than the original estimate of 850,000 units. According to HT Auto, Toyota’s production in Japan fell 28.5 percent in May but foreign plants grew 4.6 percent.
Europe also includes areas where Toyota’s vehicle production has increased, as the chip shortage has not affected the company here. Production also rose in countries including Thailand and Indonesia.
Last Updated Jul 1, 2022, 2:32 AM IST
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