Toyota's Japan production at standstill as system failure hits assembly plants

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Toyota's Japan production at standstill as system failure hits assembly plants
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The glitch is preventing Toyota from ordering components and its cause is under investigation, though it is 'likely not due to a cyberattack,' a spokesperson said.

Workers of Japanese automobile giant Toyota Motor assemble vehicles at the company's Motomachi plant near Nagoya, Japan on July 30, 2018.on Tuesday said it has suspended operations at all 14 of its assembly plants in Japan due to a production system malfunction, bringing domestic output to a standstill at the world's biggest-selling automaker.

Toyota suspended 12 plants in its home market from Tuesday morning and added the final two from the afternoon, the spokesperson said. It was unclear how much output would be lost. Toyota's domestic production had been on the rebound after a series of output cuts it blamed on semiconductor shortage. Output was up 29% in January-June, the first such increase in two years.

Toyota is a pioneer of just-in-time inventory management, which keeps down costs but means supply chain snarls put production at risk.

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