Production at 11 plants in
That comes on top of reductions planned for February that were announced earlier. Those reduction will be on various days at eight of its 14 plants in
Supplies are running short because of a lack of computer chips, which are crucial in auto parts. Plants in and out of
Production in January will be reduced by 47,000 vehicles, when accounting for the latest changes, according to
“We are doing our utmost to deliver our vehicles to our customers as soon as possible,” it said in a statement. “We deeply apologize.”
The pandemic has disrupted not only the auto sector but various areas, including shipping, the oil supply and meat packing, serving as a reminder of the connectivity of the world and the importance of the humblest worker.
That means the cost-savings from the famous “Toyota Way” of lean manufacturing, based on having as little inventory as possible for “just-in-time” production, may no longer pay off, said Fini.
“The recent experience of these input shortages is forcing automakers to go against everything they have done in the past 30 years when it comes to supply chain management,” he said.
“Carmakers are now considering taking on inventory for certain parts because, in relative terms, it costs peanuts to have that inventory compared with having a line stoppage.”
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