Toyota Shuts Czech Factory Throughout February Due to Supply Issues

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Supply issues continue to affect the auto industry. In fact, many automakers are reporting declining sales for 2022 due to production disruptions caused by inconsistent supply. Now, Toyota has to face even more supply problems and as a result has taken the unprecedented decision to close its factory in the Czech Republic for the month of February.

The plant in Kolin, about 37 miles (60 kilometers) east of Prague, currently produces the Aygo X and Yaris, and last year, production increased by about 35 percent to 202,255 built cars. Toyota took full ownership of the production site in 2021 and since then, has invested more than $200 million in its expansion. Prior to 2021, the plant is owned by Toyota and the PSA Group on a joint venture principle.

Toyota did not elaborate on the nature of the supply problem – we don’t know if it is related to the continuing global chip shortage or something else. “Due to a component shortage in the supply chain, we have been forced to temporarily halt production starting January 31,” Tomas Paroubek, a spokesman for the factory, told Automotive News earlier this week.

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Toyota’s planned global production volume for February is estimated at around 750,000 units, of which about 300,000 units will be made in Japan and 450,000 units at other factories around the world. In addition to its Czech plant, the automaker had to halt production at Toyota Motor Corporation’s Motomachi Plant in Japan for two days. This is where the GR Yaris and GR Corolla performance models were produced.

Earlier this year, Toyota announced it will have to make a number of changes to its production plan for 2023. The revised plan predicts up to 10.6 million Toyota vehicles will be built this year. However, the company has set a production volume baseline with a risk fluctuation range of around 10 percent.

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