Toyota to cut production at Canadian plants
Toyota Motor Corp. is making further production cuts in North America, including at its Canadian plants, but the slowdown won't affect any of the Japanese carmaker's 5,200 production employees.
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Toyota Motor Corp. is making further production cuts in North America, including at its Canadian plants, but the slowdown won’t affect any of the Japanese carmaker’s 5,200 production employees.
The Japanese company said the cuts, made in response to slumping sales and high inventories, will affect its facilities over the next few months and vary by assembly line and model.
Toyota’s two plants in Ontario will face some non-production days from January until April 3, but Toyota spokesman Mike Goss said no workers will be affected.
The company’s plant in Cambridge, Ont., employs approximately 4,000 people and produces the Corolla, the Matrix and the Lexus RX350, while the plant in Woodstock, Ont., employs 1,200 people and produces the RAV4 sports utility vehicle.
The production cuts are designed to reduce inventory in the second quarter to about half of the current range of 80 to 90 days.
“In addition to slowing production we are redoubling efforts to cut costs at each of our facilities,” Jim Wiseman, vice-president of external affairs for Toyota Motor Engineering & Manufacturing North America, said in a statement.
“Further actions and sacrifices may be necessary, but we will continue to do everything possible to assure the viability of our plants and protect the long term employment security of our team members.”
Toyota recently forecast it would post its first annual operating loss in 70 years for the financial year ending March 31.