Toyota Motor Corp.'s global production fell by more than a third in September from a year earlier, hit by disrupted access to semiconductors and other key auto parts that is weighing on Japan's automakers.
The automaker produced 512,765 vehicles in September, down from 841,915 cars a year earlier, Toyota said in a statement Thursday. Global sales also fell 16 percent for the month, the first year-on-year drop in 13 months.
The steep production cuts fall broadly in line with Toyota's August announcement that it would be reducing September production by about 40 percent, or 360,000 vehicles, from its original plan.
The decline marks the beginning of a production pullback period among Japanese automakers. Toyota, Honda and Nissan began adjusting output in September as a resurgence of COVID-19 cases in Southeast Asia disrupted suppliers' operations.
Those supply chain issues have continued to weigh on production plans through next month.
Nissan said its global production fell 28 percent last month from a year earlier, while sales declined 21 percent. At Honda, worldwide output fell 30 percent, the fourth month of consecutive declines.
At the same time, conditions do appear to be improving. Toyota is targeting a November output level that is up from the same period in 2019 and 2020. It aims to ramp up production in the latter half of the fiscal year to make up for lost units.
Toyota plans to produce 9 million vehicles this year, a target it's "likely to clear" given November production levels and supply chain recovery momentum, Citi Research analysts wrote in a note.
Toyota reports earnings for the July-September quarter on Nov. 4. Honda releases figures on Nov. 5 and Nissan reports Nov. 9.(Bloomberg)