Toyota orders 11-day output halt as sales slump Toyota Motor Corp is to halt production at its Japanese plants for 11 days in February and March as a sharp slide in U.S. sales has left dealers' lots full of unsold cars. A 37 percent slump in December sales in Toyota's biggest market was its sharpest fall in more than a quarter of a century and worse than declines at struggling U.S. rivals General Motors and Ford Motor.
"I never expected the crisis to spread this fast and leave this deep a scar," Toyota President Katsuaki Watanabe told reporters at a Tokyo event hosted by Japan's top business lobbies. Toyota had already announced a three-day production halt for this month at its 12 directly operated Japanese plants -- four car assembly plants and eight for engines, transmissions and other components. A sweeping suspension of domestic production is almost unprecedented. In 1993, Toyota halted output for one day as a strong yen hammered sales.
Japanese-built cars make up around 40 percent of Toyota's sales in the United States, where foreign-made cars and trucks have been piling up at ports and dealers' yards.
Automakers everywhere are cutting back production as consumers, hit by tight credit, shy away from big-ticket purchases even as companies dangle generous sales incentives. Reuters
Copyright 1999-2014 | AutoRacing1 is an
independent internet online publication and is not affiliated with, sponsored by, or endorsed
by IndyCar, NASCAR, FIA, Sprint, or any other series sponsor.
This material may not be published, broadcast, or redistributed without