It only takes one missing piece out of tens of thousands to stop a production line.
Toyota is cutting back North American production due to parts shortages following the March 11 Japan earthquake and tsunami. The struggling Japanese automaker today said in a statement that during the next few weeks, Toyota’s North American vehicle plants will operate on a reduced schedule. Production will be suspended on April 15, 18, 21, 22, and 25. The Georgetown, KY plant will build vehicles on April 21. Most of the company’s North American engine and component plants will follow the same reduced schedule. Future production plans will be determined at a later date.
On these non-production days, Toyota will continue to provide employment for its approximately 25,000 regular North American team members in keeping with previous Toyota practices. Team members may report to work for training and plant improvement activities, use vacation, or take unpaid time off.
On average, around 85% of the parts and materials for the 12 North American-built Toyota and Lexus models are sourced from 500 suppliers in North America. While production of some parts and materials continues in Japan, Toyota is working closely with affected suppliers in order to minimize the impact.
“The situation in Japan affects many automakers and many other industries. Extraordinary efforts are underway to help suppliers recover,” said Steve St. Angelo, executive vice president of Toyota Motor Engineering and Manufacturing North America.
“We are slowing down to conserve parts yet maintain production as much as possible. We appreciate the flexibility of our team members, suppliers and dealers as we work through these issues.”
