World News

Toyota’s October global vehicle production up 23%

TOKYO — Toyota Motor Corp. reported on Tuesday a 23% rise in October global vehicle output, beating its own target for a third month in a row, as the industry strives to get past persistent chip shortages that have hobbled production.

The Japanese automaker produced 771,382 vehicles globally in October, above a downgraded target of 750,000 units and up 23% from the same month a year earlier.

But growth slowed from record monthly output of more than 887,000 cars manufactured in September, and Toyota continues to face supply chain disruptions as China battles nationwide coronavirus disease 2019 (COVID-19) outbreaks and implements restrictions and lockdowns.

The company said on Tuesday it was adjusting some operations in China due to COVID lockdowns.

Earlier this month Toyota cut its annual output target, as it battles surging material costs and a persistent chip shortage.

A Toyota executive in charge of purchasing said at the time that the global auto chip shortage would continue, as chipmakers have prioritized supplies for electronics goods, while natural disasters, COVID lockdowns and factory disruptions have slowed a recovery in auto chip supplies.

Toyota expects to produce 9.2 million vehicles this fiscal year ending March 2023, down from the previous forecast of 9.7 million but still ahead of last financial year’s production of about 8.6 million units. — Reuters