Toyota Cuts Production Outlook Owing To Chip Shortage - Toyota Motor (NYSE:TM)

Toyota Motor Corp TM slashed its production guidance by around 3% to 9 million units for FY22 due to Southeast Asia's covid resurgence.
The automaker had previously planned to produce 9.3 million units.
Toyota slashed the September output by 70,000 units and October by 330,000 while sticking to its FY22 operating profit of 2.5 trillion yen ($22.7 billion).
A decline in operations at multiple local suppliers and tighter semiconductor supplies led to the adjustment. While the current outlook appears robust, concerns loom from November onwards.
In August, Toyota had cautioned against production cuts due to the semiconductor and component crisis.
Toyota sought substitute parts to meet the global demand for cars.
Maruti Suzuki India Ltd sees a volume drop by about 40% of normal in August, Bloomberg reports. Suzuki Motor Corp SZKMY is shrinking vehicle production by 20% in September in Japan. Renault SA RNSDF plans to halt assembly plants in Spain for up to 61 days before the end of the year.
Price Action: TM shares closed higher by 0.04% at $180.07 on Thursday.