Toyota To Suspend North American Production Due to Parts Shortage

Just the Facts:

• Toyota said it will suspend production at its North American plants in five one-day shutdowns in April due to parts availability following the March 11 Japan earthquake.
• The dates of the shutdowns are April 15, 18, 21, 22 and 25, although manufacturing at the Georgetown, Kentucky plant will not be stopped on April 21.
• Volvo told Inside Line on Monday that, despite reports from some auto analysts, the earthquake has not affected its vehicle production in Europe.

ERLANGER, Kentucky — Toyota said it will suspend production at its North American plants in five one-day shutdowns in April due to parts availability following the March 11 Japan earthquake.

The move affects all 13 of Toyota's North American plants. The automaker did not say what impact the suspensions will have on vehicle availability here.

The dates of the shutdowns are April 15, 18, 21, 22 and 25, although manufacturing at the Georgetown, Kentucky plant will not be stopped on April 21.

Toyota said future production plans at its North American plants will be determined at a later date.

"We are slowing down to conserve parts yet maintain production as much as possible," said Steve St. Angelo, executive vice president of Toyota Motor Engineering and Manufacturing North America.

Honda on Friday said temporary reduced production in North America will be extended one week through the week of April 18-22, but that it plans no layoffs at any of its North American facilities. "We anticipate that additional production adjustments will continue after that date," it said in a statement.

In addition, Volvo told Inside Line on Monday that, despite reports from auto analysts, the earthquake has not affected its vehicle production. A report late last week from IHS Global Insight indicated that slowdowns in Volvo's production of such vehicles as the Volvo S80 and XC90 were expected in the wake of the earthquake.

"Volvo Car Corporation has not lost a single car as a result of the earthquake in Japan and we are producing full speed this week," wrote Per-Ake Froberg, Volvo spokesperson in response to an e-mailed query from Inside Line.

Inside Line says: Japan's natural disaster continues to have repercussions for North American vehicle manufacturing. — Anita Lienert, Correspondent