TOKYO Toyota Motor Corp said on Thursday that the global vehicle production grew at a record pace for the month of August, after the sector recovered from the COVID 19 pandemic and production capacity increased, mainly overseas.
The Japanese automaker, which has been under scrutiny over whether it can stick to its annual production target of 9.7 million vehicles, is showing signs of easing, even though China dials back its Pandemic restrictions and chip shortages are showing signs of easing.
In the month of August, vehicle production soared 44.3 per cent, the first increase since March. The world's largest automaker by sales produced 766,683 vehicles worldwide last month, well above its target of 700,000 and above year-ago output of 531,448.
Domestic production increased by 5.6 per cent year-on-year and overseas production went up 65.1 per cent from a year ago, which was a record increase for the month of August.
Toyota was able to obtain more semiconductor components in Asia, a region where there is strong demand from consumers, as chips shortage eased, a spokesman said.
According to company data, the production in the first five months of the current fiscal year is 6.7 per cent less than the company's initial plans, as opposed to 10.3 per cent last month. The company gives out monthly production targets.
Overseas sales hit a new record for the month of August, which was a rebound from a decline in sales last year due to the coronavirus outbreaks in China and the rest of Asia.
In August, overseas sales increased by 8.9 per cent to 694,272 vehicles, while in Japan they fell by 25.8 per cent to 82,775 vehicles because parts supply shortage and COVID 19 outbreaks disrupted production.
Toyota President Akio Toyoda is due to attend the U.S. national dealers convention in Las Vegas, marking his first in-person appearance since the Pandemic.
In August, Toyota's production numbers went up by 11.9 per cent, a first increase since March, due to increases in production capacity and the fact that shortages of semiconductors and other components forced suspensions at U.S. factories last year.
Its U.S. sales fell 9.8 per cent last month.