Toyota U.S. production will hit normal levels by the end of June

Article by Christian A., on May 11, 2011

By the end of June, Toyota Motor Corp.’s North American production will be restored to approximately 70% of the normal levels – two months ahead of schedule.

The output of eight models that are built in North America (Avalon, Camry, Corolla, Highlander, Matrix, Sequoia, Sienna and Venza) will return to normal levels at around this time too.

For the past few weeks, Toyota's North American plants have been operating at 30% of capacity due to parts shortages and distribution problems that resulted from the March 11 earthquake in Japan.

In Toyota’s latest adjustment, the carmaker said that it estimates that its North American operations will operate at 70% of normal levels at least through July and will completely recover by the end of the year. Earthquake-related inventory shortages are anticipated by Toyota and its U.S. dealers.

The models that will be affected include the Prius hybrid and most of the Lexus lineup that are produced only in Japan. Toyota's U.S. sales have increased by only 9% through April while the overall market rose by 20%.

This is partly attributed to supply chain problems. The Automotive News Data Center said that at the start of May, Toyota's U.S. inventory consisted of 261,200 Scion, Lexus and Toyota models. This is a considerable drop from its stock of 329,500 units on April 1.

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