TOYOTA Motor said on Thursday its global vehicle production grew at a record pace for the month of August, as the sector recovered from the Covid-19 pandemic and production capacity increased, mainly overseas.
The announcement offers a temporary bit of relief for the Japanese automaker, which has been under scrutiny over whether it can stick to its annual production target of 9.7 million vehicles, even as China dials back pandemic restrictions and chip shortages are showing some signs of easing.
Vehicle production soared 44.3 per cent in August year on year, the first increase since March. The world’s largest automaker by sales produced 766,683 vehicles worldwide last month, above its target of around 700,000 and above year-ago output of 531,448.
Output increased mainly overseas, with domestic production up 5.6 per cent year on year and overseas production jumping by 65.1 per cent from a year ago, also a record rise for the month of August.
Toyota was able to secure more semiconductor components than anticipated primarily in Asia, a region where there is also strong demand from consumers, as chips shortage eased, a spokesperson said.
Production in the first 5 months of the current fiscal year that started in April is now 6.7 per cent short of the company’s initial plans, as opposed to 10.3 per cent last month, according to Reuters calculation based on company data. The company gives out monthly production targets.
