Toyota Motor will idle its plants in Japan for 11 days in February and March to reduce output in the face of steeply declining global vehicle sales, the company said Tuesday.
The Japanese auto giant said the suspension will affect production at all 12 of its directly operated domestic plants, which include four vehicle assembly plants and also factories that make transmissions, engines and other parts. The stoppages are in addition to a three-day shutdown this month at these plants that Toyota had already announced.
The move is unprecedented for a company that just a few months ago seemed unable to keep up with voracious global demand for its fuel-efficient vehicles. But even strong players like Toyota have failed to escape the drastic slowdown in the global auto industry.
The last time Toyota Motor Corp. halted production at all its Japan plants was in August 1993, when demand plunged because of a rising yen, and that was for only one day, according to the company.
A global economic downturn has hammered the auto industry in Japan and elsewhere, forcing carmakers to cut staff, lower production and delay new models. Major automakers in the U.S. had teetered on the brink of collapse until securing a multibillion dollar government lifeline.
“We are coping with a slump in global sales,” Toyota spokesman Hideaki Homma said Tuesday. “Demand in the world auto market is so depressed that every model is falling sharply in sales.”
The manufacturers are also struggling in its home market, which has been stagnant for years. The sales drop has worsened this year amid a global recession.
“In good times and bad, we try to keep output in line with demand, keeping production in line with demand,” Company spokesman Paul Nolasco said. “This will help even out production flow.”
The announcement followed dismal numbers posted Monday by the Big Three U.S. manufacturers. Chrysler saw December sales decline 53 percent from last year, while General Motors saw its receipts drop 31 percent and Ford dropped 32 percent.
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