Thursday, April 07, 2011

toyota north america plant shutdowns pending...,

Kansas City | Toyota Motor Corp. said Monday that it's inevitable that the company will be forced to temporarily shut down all of its North American factories because of parts shortages due to the earthquake that hit Japan.

The temporary shutdowns are likely to take place later this month, affecting 25,000 workers, but no layoffs are expected, spokesman Mike Goss said. Just how long the shutdowns last or whether all 13 of Toyota's factories will be affected at the same is unknown and depends on when parts production can restart in Japan, he said.

So far the North American plants have been using parts in their inventory or relying on those that were shipped before the earthquake, Goss noted. But those supplies are running low.

"We're going to get to a point this month where that gap in the pipeline starts to show up. So we'll have to suspend production for a while," he said.

A March 11 earthquake and tsunami damaged auto parts plants in Northeastern Japan, causing shortages that idled most of the nation's car production. Japan's daily auto output has fallen by more than 500,000 vehicles since the disaster, says Scotiabank Senior Economist Carlos Gomes. Some manufacturers are bringing plants back on line, but only at low speeds due to a lack of parts.

Shortages of parts from Japan are also affecting manufacturers outside the country. Just last week, Ford Motor Co. and Nissan Motor Co. said that several North American plants would be closed for part of this month, and Chrysler CEO Sergio Marchionne has said his company will see disruptions.

Toyota only gets about 15 percent of its parts from Japan for cars and trucks built in North America, "but still you have to have them all to build the vehicles," Goss said.

1 comments:

Redsnow Jailbreak Iphone said...

Toyota is facing bad times. Hope to see the company handle this situation.

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