Don’t get it twisted. While the overall sales situation has improved, car brands are still wrestling with the effects of the COVID-19 pandemic. A global parts and semiconductor shortage caused by disrupted supply chains, for example, continues to mess with the global auto industry.
In a statement, the Toyota Motor Corporation apologized to both its customers and partners for the constant adjustments to its global production plans.
“We have had to make a number of changes to our production plan due to parts supply shortages such as semiconductors, imposing considerable burdens on production sites including those of suppliers,” the Japanese brand explained.
“Last April, we revised production plans to be more reasonable in line with recent realities as part of an ‘intentional pause’ and created plans based on the personnel structures and facility capacities of suppliers.”
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For 2023, Toyota says it is approaching its production plans with “the highest priority on safety and quality while making every effort to deliver as many vehicles as possible to our customers at the earliest date.”
That said, the company says it is currently working to produce 10.6 million units this year. It has, however, acknowledged that challenges lay ahead and that volume may fluctuate downward by approximately 10%.
“We are sharing this value that incorporates a range as there will be fluctuation risks to our production volume ceiling in the event of impact from parts supply shortages such as semiconductors, as there was in the previous year. We will work closely with our suppliers in advance to reduce the impact of fluctuations as much as possible in our production activities.”
So yeah, the auto industry isn’t out of the woods just yet. Do you think Toyota’s production changes will have a major impact on local deliveries and supply?
