Steel Markets

Toyota Cuts March Production on Chip Shortage
Written by David Schollaert
March 18, 2022
Toyota North America has scaled back its production by an estimated 35,000 vehicles in March, with more reductions in April still possible due to the prolonged global microchip scarcity, a company spokesperson told Steel Market Update (SMU).
“Toyota’s North American plants continue to face intermittent production delays due to many supply chain disruptions,” she said. “We estimate a reduction of 35,000 vehicles in March.”
The North American subsidiary of Japanese-based Toyota Motor Corp. said that although they continue to diligently work to minimize the impact of the semiconductor shortage, the state of the supply chain remains fluid, likely impacting April’s production outlook in North America.
Toyota’s spokeswoman would not specify which plants or models would be impacted, noting that those dynamics are ever-changing due to the fluid nature of the microchip and parts allocation.
The lack of chip readiness continues to disrupt North American automakers nearly two years after the scarcity first resulted in widespread production outages.
Among other automakers most recently affected are Ford, Honda and Subaru.
Ford’s Avon Lake, Ohio, assembly plant was most recently idled during the week of March 14 due to the semiconductor shortage. The plant produces Ford’s E-Series cutaway and strip chassis, and the F-650, F-750 and Ford Super Duty trucks.
Honda’s North American operations also adjusted production during the week of March 14. Though the company would not provide details to SMU on specific facilities or models, the automaker’s spokesperson said the shifts were based on parts supply availability.
Subaru noted that “parts availability is an ongoing issue that can result in production fluctuations throughout any given week.” Other issues, including supplier staffing, have also caused disruptions for Subaru, a company spokesperson said.
General Motors Co. said it has no news to report for at least another week. Neither did Stellantis, Nissan or Daimler – all reporting steady production.
By David Schollaert, David@SteelMarketUpdate.com

David Schollaert
Read more from David SchollaertLatest in Steel Markets

Trading firms Mercuria and Tata International partner in joint venture
Geneva-based global commodities trader Mercuria is set to acquire a majority stake in Tata International, according to a report in India's Economic Times.
Glenfarne Alaska LNG and POSCO ink preliminary partnership
Glenfarne Alaska LNG and POSCO signed a preliminary strategic agreement during the GasTech Conference in Milan on Thursday.

Steel export volumes remain weak through July
Following a 3% decline in June, the amount of steel shipped outside of the US edged up 1% in July to 623,000 short tons. July was the sixth-lowest monthly export rate since the COVID-19 pandemic, and...

Hot-rolled market participants say ‘doldrums’ to roll on through year-end
Participants in the hot-rolled steel sheet market expect the market to remain subdued through the end of the year.

Market says cutting interest rates will spur stalled domestic plate demand
Market sources say demand for domestic plate refuses to budge despite stagnating prices.