Toyota cuts almost half its global production due to Covid-19 distruptions

As one of the world's biggest automotive manufacturers, the increased demand for vehicles has put a lot of pressure on Toyota's factories, but a perfect storm of parts shortages and a Covid-19 outbreak has slowed things down significantly. 

Just recently, the Japanese brand revealed that it has had to cut its global production by 40 per cent due to the world's continued shortage of semiconductors which is, in part, due to Malaysia's Covid-19 outbreak.

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Toyota's announcement revealed that 27 production lines in 14 factories around the world will be temporarily closed in September. In that same release, it was revealed that there are only 28 production lines in these 14 sites. 

This is the first mass setback that Toyota has faced as a result of the semiconductor shortage, as the brand had reportedly been stockpiling parts prior.

As to how this will affect customers locally, Toyota New Zealand stated that those waiting on the new Land Cruiser 300, Highlander and Corolla Hatch models, will be most impacted. 

“This will cause a small disruption to our vehicle supply coming into New Zealand,” says Steve Prangnell, Toyota New Zealand General Manager of New Vehicles.

“I want to reassure customers that we are doing our best to minimise the impacts to their new vehicle deliveries.”