Chip Crisis Also Hit Toyota

Toyota Motor announced that it will halt two production lines domestically in June due to the semiconductor chip experiencing a global supply problem.

The chip crisis also hit Toyota. Japanese automaker Toyota Motor has decided to shut down two production lines due to automakers' shortage of supply, following the growing demand for chips for smartphones and tablets, 5G network equipment and game consoles worldwide. According to the statement made by the company, Toyota Motor will shut its two production lines at its Iwate and Miyagi factories in northeast Japan for a maximum of 8 days as of June 7. During this period, the production of the company's C-HR, Yaris Cross and Yaris compact models will be affected and the vehicle production is expected to decrease by approximately 20 thousand units. Other Japanese automakers Mazda and Honda have also announced that they will be restricting production due to a semiconductor chip supply problem. Mazda Motor announced that the semiconductor chip supply problem will reduce its production globally by 100,000 in the current fiscal year, while Honda said that they expect its 2021 fiscal year overall net profit to decline by 10.3 percent to 590 billion yen ($ 5.4 billion).