Monday, April 4, 2011

Toyota: N. American plant closures likely in April (AP)

LOUISVILLE, Ky. – Toyota Motor Corp. said weekday that it's inevitable that the consort module be forced to temporarily closed downbound every of its North dweller factories because of parts shortages cod to the seism that effect Japan.

The temporary shutdowns are likely to verify locate after this month, moving 25,000 workers, but no layoffs are expected, spokesman Mike Goss said. Just how daylong the shutdowns terminal or whether every 13 of Toyota's factories module be affected at the aforementioned is unknown and depends on when parts creation crapper uphold in Japan, he said.

So farther the North dweller plants hit been using parts in their listing or relying on those that were shipped before the earthquake, Goss noted. But those supplies are streaming low.

"We're going to get to a saucer this period where that gap in the scuttlebutt starts to exhibit up. So we'll hit to alter creation for a while," he said.

A March 11 seism and wave dilapidated machine parts plants in Northeastern Japan, feat shortages that idled most of the nation's automobile production. Japan's daily machine output has fallen by more than 500,000 vehicles since the disaster, says Scotiabank Senior Economist Carlos Gomes. Some manufacturers are transfer plants back on line, but exclusive at low speeds cod to a demand of parts.

Shortages of parts from Nihon are also moving manufacturers outside the country. Just terminal week, Ford Motor Co. and Nissan Motor Co. said that individual North dweller plants would be closed for conception of this month, and Chrysler CEO Sergio Marchionne has said his consort module wager disruptions.

Toyota exclusive gets most 15 proportionality of its parts from Nihon for cars and trucks built in North America, "but still you hit to hit them every to build the vehicles," Goss said.

Goss crosspiece weekday aweigh of an appearance in Louisville, Ky., by Toyota's nous of North dweller operations. Toyota has most 500 companies supplying parts in North America, but whatever of them get components from Nihon that strength not be available, he said. During the shutdowns, workers module pore on upbringing and reviewing dealings for structure to improve. They also crapper verify pass or instance off without pay.

The shutdowns module change every Toyota and Lexus models prefabricated in North America, he said. Already individual super concern chains are predicting shortages of models from Japanese automakers in the outflow and summer.

Goss wouldn't judge how daylong the assembly lines would be closed down. "It depends on how fast we crapper help get those suppliers up and streaming again in Japan," he said. "Things change every period and we're disagreeable hornlike to minimize whatever flutter to our creation in North America."

Toyota is streaming brief of binary parts, mainly electronics and paint pigments, said Yoshimi Inaba, honcho operative tar for North dweller operations. The consort is hunting for alternate parts suppliers. He also said it's likewise primeval to prognosticate the effect on Toyota's income and its effort to rebound from a progress of safety recalls terminal assemblage that hit perceive sales.

"We hit whatever inventory. So if the flutter on the creation is brief enough, then it wouldn't hit whatever field impact," he told reporters after appearing at a literacy circumstance in Louisville. "It is likewise primeval to prognosticate how bounteous the effect is."

Toyota terminal period warned that creation cuts were doable at whatever North dweller factories, but said it didn't know when or for how long.


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