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Toyota Says Scarce Parts to Idle Some U.S. Plants

  • 03-24-2011
DETROIT — Toyota told its workers in North America on Wednesday that it expects to halt production at one or more plants because of shortages of Japanese-made parts. þþThe carmaker said it did not know where or when it would need to cut output but that it had become clear in the nearly two weeks since the earthquake and tsunami in its home country that its overseas operations would be affected in some fashion. þþ“It’s too early to say which models would be affected, but there will be an impact and we acknowledge that,” said a Toyota spokesman in New York, Javier Moreno. “The questions that are still lingering are how quickly those adjustments will come or how long they will last.” þþToyota has yet to resume building vehicles in Japan since the March 11 earthquake. It plans to keep its Japanese plants, which build models including the Prius hybrid car and most of the lineup for its Lexus premium brand, closed at least through Saturday. þþMr. Moreno said Toyota was having the most difficulty procuring enough electronics, rubber and resin in Japan. þþBut the only change it has made so far at its North American plants is to cancel overtime in an effort to conserve supplies of components. þþAmong its locally produced models are the Camry and Avalon sedans, made in Georgetown, Ky., and the Corolla sedan, from a plant in Ontario. þþMr. Moreno said vehicles built in North America got about 75 percent of their parts from within North America. þþHe said that Toyota had enough supplies of most vehicles but that customers might not be able to find a specific color or trim level of some vehicles, like the Prius, at a particular dealership. þþAnalysts also have reported that the prices customers are paying for some Japanese-made vehicles have been climbing. þþ“We’ll continue to do everything in our power to ensure that our operations continue as normally as possible,” Mr. Moreno said. þþGeneral Motors is the only automaker that has announced disruptions at any United States plants. It has temporarily stopped building compact pickup trucks in Shreveport, La., and engines for those trucks in Tonawanda, N.Y., causing the layoff of about 850 workers. þþIn a report this week, Michael Robinet, the director of global automotive forecasts at the research firm IHS Automotive, said the disaster would have widespread effects on automakers, known in the industry as O.E.M.’s, around the world. “Virtually every major O.E.M. will be affected by this disaster by mid- to late April,” Mr. Robinet wrote. “It is not a matter of if, but when.” þþ

Source: NY Times