Toyota Motor Corp. said it will suspend production at all assembly plants in Japan next week in the wake of a steel factory explosion, interrupting the supply of crucial models including the new Prius hybrid.
All domestic assembly lines will halt Feb. 8 through Feb. 13, Toyota said Monday in a statement. The company counts on Japan for more than 40 percent of vehicle production, including all assembly of the Prius and some Lexus models including the NX crossover.
Toyota’s Japan shutdown springs from the Jan. 8 explosion at Aichi Steel Corp.’s Chita plant, which supplies specialty steel for engine, transmission and chassis components. The lost output underscores the fragility of the automaker’s supply chain, which was disrupted by Japan’s 2011 earthquake and tsunami, even as it leads the industry in sales.
Source and image: Bloomberg