Friday, July 1, 2022
News Toyota Planning 40% Output Drop in September Due to Chip Shortage

Toyota Planning 40% Output Drop in September Due to Chip Shortage

Automakers such as Toyota are still experiencing massive chip supply shortages and they’re far from over

  • Volkswagen is bracing for more production cuts.

  • Ford F-150 production to be paused for a week.

So far, it’s estimated that the global microchip shortage has reduced new car outputs by nearly 6 million units. Forecasts predict that the number could rise to over 7 million before supply once more matches demand. Up until now, Toyota had managed to avoid falling prey to the shortage but it has now hit home.

Toyota had been able to increase output so far this year while many automakers were forced to repeatedly idle assembly plants. Despite the Japanese brand’s best efforts, they are now looking to cut 40% of its global output in September, or not building roughly 360,000 new vehicles from the planned 900,000 according to Automotive News.

Start of the Volkswagen ID.3 production in Zwickau | Photo: Volkswagen

Volkswagen is bracing for what they think will be a very volatile 3rd quarter because of the chip shortage. VW’s predictions are based on German chipmaker Infineon being forced to suspend production at a plant in Malaysia due to a recent coronavirus outbreak.

Meanwhile, Ford will temporarily idle its Kansas City assembly plant next week. This facility assembles the F-150.

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Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai


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