By Nat Shirley
Wednesday, Nov 2nd, 2011 @ 4:51 pm
 
Supply chain disruptions caused by extensive flooding in Thailand have forced Toyota to decrease North American production over the coming weeks.

Overtime shifts have been eliminated indefinitely at the company's factories in Indiana, Kentucky, Texas and Canada, while a Saturday shift on November 12 has also been nixed at the plants in Kentucky and Canada.

A shortage of Thai-built components including microcontrollers, audio systems, switches and diodes is the force behind the cutbacks. The dearth of parts has also forced Toyota to lower production in Japan and completely shut down its Thai factories.

"Parts availability from Thailand is not predictable at this time and is changing due to the severity of the flooding," Toyota said in an internal memo to workers.

Toyota had previously announced the elimination of a separate Saturday shift at assembly plants in Indiana, Kentucky and Canada in addition to an engine plant in West Virginia, while rival automaker Honda has also been forced to severely curtain North American production as a result of the natural disaster in Thailand.

References
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