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Toyota to start operations

Posted on 21 April, 2016

Toyota will restart most vehicle production at its Japanese plants from next week. Damage at Toyota supplier Aisin Seiki Co’s factories forced the marque to suspend production until it could stabilise its supply chain. Toyota will now source key parts from other plants in Japan or import them from overseas. Aisin is still facing a shortage of all parts, but is able to supply enough to get Toyota factories to resume operation. Toyota will supplement with substitute parts from China and Mexico and has almost completed a plan to shift production to other plants in Japan. The automaker has also contracted a non-Toyota Group supplier in Kyushu to make parts, who Toyota spokesman Ryo Sakai declined to name. Most plants will resume operating by April 28, however, its Motomachi and Miyata factories will remain closed down with no timeline for a resumption of production. Both plants produce Lexus vehicles. Toyota’s Tahara plant, which makes Lexus models including the GX SUV, LS sedan and RC coupe. will resume production by April 28. A full week of stopped production would cost Toyota around NZ$657 million to $920 million, however Kurt Sanger, a lead auto analyst with Deutsche Securities Japan, says the marque will likely make up the lost output of 90,000 vehicles by adjusting holiday time. Sakai says the automaker has not decided how or when to make up the lost production, but is considering working Saturdays originally scheduled as days off.