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 Showroom

Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →
My Mercedes in the U.S.
The German brand debuted its studio dealership concept for the first time in the states in Los Angeles, tapping Americans’ penchant for creative distinctions.
Read More →
Used Sales Hit Summer Drag
The vacation season, combined with high prices, has dented deliveries and added to inventories, though supply is still slim enough to keep listings elevated.
Read More →
California Launches EV Rebate Program
Participating automakers are matching the state's $13.5 million investment in new electric-vehicle rebates scheduled to take effect later this summer.
Read More →
OEM Poll Sees Industry Evolution
Kerrigan Advisors’ survey of automakers finds that tariffs, technology, network tightening and other factors are poised to reshape auto retail.
Read More →
The Trade-In Paradox
Retailing older cars with confidence in today’s market is a matter of establishing and following a clear process that can turn greater profit for auto dealers as they aim to meet used-unit hunger.
Read More →
Focus on Vehicle Cabins
The market for interior materials will grow in coming years as automakers look to meet consumer demand while staying competitive with changeups to sourcing and included features.
Read More →