Toyota To Cut Production By More Than Half Until April, And Then What?

News has it that from February to April, Toyota Motor Corp. will cut its Japanese factories' production to half the levels of last year.

Toyota temporarily suspended operations at 11 of its 12 Japanese factories due to dwindling sales during the deepening global recession. Toyota also plans to shut down all 7 vehicle assembly plants in the US and Canada on some days through early April, in an attempt to reduce rising inventories by half.

The number of non-operating days will be different at each factory. The production line for the Sienna minivan at the automaker’s Indiana plant will be stopped for 30 days during that period.

Due to a slump in the automobile market, Toyota had shut down some production lines in the US for three months since last August, including those in Texas and Indiana for producing large vehicles like pickup trucks. In addition, it suspended manufacturing at its Kentucky plant and elsewhere for four days in December.

Sales of new light duty vehicles in America fell 18% to 13.24 million units for 2008, the lowest in the last 16 years.

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