The extreme situation may reduce production by 70%; Guangqi Honda has cut its output by one-third in April. The impact of the Great Japan Earthquake on the Chinese auto industry is increasing. Toyota China announced yesterday that it will cut its production in China by 50%, and in extreme cases may cut production by 70%. In addition, Guangqi Honda has cut production by one-third in April.
Toyota China issued a statement yesterday, saying that due to the impact of supply of parts due to the earthquake, adjustments were made to the production plans of all Chinese vehicle and component factories.
Specifically, as of June 3, the operating rate of all vehicle factories was adjusted to 50% of normal time, and in extreme cases, it was possible to adjust to 30%. The production of parts factories was also adjusted, and the original plan was to be adjusted. Summer vacations that are implemented after July are also adjusted to the end of April or early May.
For Toyota's domestic factory production after June 6th, the supply of components will be confirmed in real time and a production plan will be arranged.
The Toyota Japan plant has been fully resumed on the 18th, but its output is only 50% of the normal time. Toyota U.S. company also announced plans to reduce production yesterday: shutdowns on Mondays and Fridays and 50% reduction on other working days.
Yao Yiming, deputy general manager of Guangqi Honda, told reporters on the previous day that in April Guangben reduced production by about one-third. The capacity expansion will be carried out in May and the factory will have a holiday, but this is the plan that was formulated at the beginning of the year. For the production situation after May, Yao Yiming said, "It is not good to estimate, but now it is confirmed once a week."
The reduction in production may cause tight supply and increase in terminal prices. A spokesman for Toyota China said that Toyota will make every effort to ensure production.
At the Shanghai Auto Show Media Day held on the previous day, Toyota’s President Toyoda Toyoda, Honda President Ito Takahiro, and Mitsubishi Motor’s President Yoshiko Nishiko’s executives from Japan’s auto companies all expressed their gratitude to the Chinese for their help in the earthquake-stricken areas in Japan. And stated that every effort will be made to reduce the impact of the earthquake.
Toyota China issued a statement yesterday, saying that due to the impact of supply of parts due to the earthquake, adjustments were made to the production plans of all Chinese vehicle and component factories.
Specifically, as of June 3, the operating rate of all vehicle factories was adjusted to 50% of normal time, and in extreme cases, it was possible to adjust to 30%. The production of parts factories was also adjusted, and the original plan was to be adjusted. Summer vacations that are implemented after July are also adjusted to the end of April or early May.
For Toyota's domestic factory production after June 6th, the supply of components will be confirmed in real time and a production plan will be arranged.
The Toyota Japan plant has been fully resumed on the 18th, but its output is only 50% of the normal time. Toyota U.S. company also announced plans to reduce production yesterday: shutdowns on Mondays and Fridays and 50% reduction on other working days.
Yao Yiming, deputy general manager of Guangqi Honda, told reporters on the previous day that in April Guangben reduced production by about one-third. The capacity expansion will be carried out in May and the factory will have a holiday, but this is the plan that was formulated at the beginning of the year. For the production situation after May, Yao Yiming said, "It is not good to estimate, but now it is confirmed once a week."
The reduction in production may cause tight supply and increase in terminal prices. A spokesman for Toyota China said that Toyota will make every effort to ensure production.
At the Shanghai Auto Show Media Day held on the previous day, Toyota’s President Toyoda Toyoda, Honda President Ito Takahiro, and Mitsubishi Motor’s President Yoshiko Nishiko’s executives from Japan’s auto companies all expressed their gratitude to the Chinese for their help in the earthquake-stricken areas in Japan. And stated that every effort will be made to reduce the impact of the earthquake.
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