Toyota Cuts Fiscal-Year Production Target
Continuing chip shortage bedevils world’s biggest carmaker, which falls short of a new record.

Semiconductors are still in limited supply, narrowing carmakers' outputs.
IMAGE: Getty Images/Ismed Syahrul
The semiconductor shortage continued to cause headaches in the automotive industry as Toyota said it won’t meet its fiscal-year output target due to the lingering chip scarcity.
The concession came months of sticking with its initial goal of 9.7 million vehicles in the year ending March 31. It said it will produce 800,000 vehicles in November and pause work at its plants in Japan. That’s about 100,000 short of its former target.
The original output goal was still significantly above its record of 9.08 million vehicles. Continued industrywide supply issues ultimately made it elusive.
J.P. Morgan Research forecasted in August that the general chip supply would increase in the second half of the year and that the shortage is nearing its end, but that Volkwagen estimated supply would likely continue to be inadequate to meet automotive industry demand until 2024.
The U.S. government is investing billions of dollars into domestic production of semiconductors, in part to wean its markets off of Asian suppliers, particular in China.
Meanwhile, Forbes reported that a black market in chips is thriving due to the shortage, some of them substandard in quality.
Originally posted on Auto Dealer Today
More Industry

Kia Closes Out Summer With a Bang
Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.
Read More →
Indiana Dealership Changes Hands
A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.
Read More →
Texas Dealership No Longer in the Family
The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.
Read More →
Genesis Grows California Presence
The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.
Read More →
August Auto Sales a Mixed Bag
An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.
Read More →
EV Market Humming Along
July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.
Read More →
Auto Loan Delinquency Rates Stabilize
Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.
Read More →
EV Sales Recover in Q2
The EV sales roller coaster continues as numbers show improvement, but industry experts predict a year-over-year third-quarter decline and fourth-quarter jump.
Read More →
The Cheapest Hybrids to Fuel
The powertrain is increasing in popularity, in no small part due to its fuel economy. A new report lists the most efficient hybrids on the market.
Read More →
Hybrids and SUVs Gaining Ground
The most recent Kelley Blue Book Brand Watch found that only two nonluxury brands increased in shopper consideration, buoyed by their hybrid and SUV offerings.
Read More →