TOKYO – Toyota is suspending production at all 12 of its Japan plants for 11 days over February and March, a stoppage of unprecedented scale for the nation's top automaker as it grapples with shrinking global demand.
The last time Toyota Motor Corp. halted production at all its Japan plants was in August 1993, when demand plunged because of a rising yen, and that was for only one day, according to the company.
A global economic downturn has hammered the auto industry in Japan and elsewhere, forcing carmakers to cut staff, lower production and delay new models. Major automakers in the U.S. had teetered on the brink of collapse until securing a multibillion dollar government lifeline.
"We are coping with a slump in global sales," Toyota spokesman Hideaki Homma said Tuesday. "Demand in the world auto market is so depressed that every model is falling sharply in sales."
Toyota said last year that it was stopping production at its 12 domestic plants for three days in January. But it decided on additional closures because of the global downturn. Toyota will stop output for six days in February and five days in March, it said.
Of Toyota's domestic factories, four produce vehicles while the rest make engines and auto parts.
Overnight, Toyota reported that its U.S. sales in December were down 37 percent on year, a worse drop than Ford Motor Co.'s 32 percent drop and GM's 31 percent slide.
The manufacturers are also struggling in its home market, which has been stagnant for years. The sales drop has worsened this year amid a global recession.
Sales of new vehicles in Japan fell to 3.2 million vehicles last year, the lowest in 34 years, the Japan Automobile Dealers Association said Monday.
Last month, Toyota said it was slipping into its first operating loss in 70 years, expecting 150 billion yen ($1.66 billion ) of operating losses for the fiscal year ending March 2009.
Toyota, which makes the Prius gas-electric hybrid and Camry sedan, expects 50 billion yen ($555 million) in net profit, down from 1.7 trillion yen earned the previous year.
Tuesday, January 06, 2009 - 06:55 pm, by: Joshua Rao(Soaren1)
Daniel that is also what I heard, they are culling their entire TRD division with the 15 TRD staff members being relocated.
Apparently was not making the sales that HSV FPV do as they expected so they are killing it. I think with time, the TRD division could make HSV sales but they cant expect it overnight with a few models, I mean HSV and FPV have spent years building their reputation and brand name.
My depreciating AUD 2cents
Mike Beck Goo Roo New Zealand Soarer Limited UZZ31 V8
Tuesday, January 06, 2009 - 07:53 pm, by: Mike Beck(Gold_40gt)
Good point indeed Matt, It's not surprising however when essentially they are just hotting up common practical vehicle which by most standards are not exciting or interesting and never will be.
A TRD Hilux or Aurion is not what they should be doing, its almost pointless, you don't make those types of vehicles sporty - its a dead end as people that want those vehicles, don't tend to spend the extra money on the sport version as its not what they are interested in - they just want the normal car!
Toyota really need to have a proper few RWD sports car then send them over to the TRD division - then they might be treated more seriously with people after those type of cars & actually sell them in good numbers!
It's sad in a way how Toyota has essentially become so 'girly' with its front line fleet of vehicles, especially when you go back the 90's where they had so many outstanding cars. Sure numbers of sales started dropping in cars like the Supra, but in my opinion they cut some of their best cars off at the wrong time, the last 5 or so years has been booming with supercars and high end sports cars from all kinds of manufactures, with all the decent ones selling like hot cakes - Toyota in a way missed out completely, their Lexus IS-F a step is clearly a step in the right direction but it has missed out on the good days of selling in big numbers as now we are in this depressed ecconomy as everyone knows.
I would have put money on if Toyota brought the Supra back in the 2003-2005 time frame, modernized it giving a new version a good quality facelift as well as inside the cabin, also tweaking the engine even further - then they would have surely been a fierce competitor from all the cars from Europe over the period, all for a fraction of the cost.
Would have been a gamble but I'm sure they could have pulled it off.