Final assembly on a Toyota Mirai in Japan © Toyota PLC
Final assembly on a Toyota Mirai in Japan © Toyota PLC

Explosion at supplier stops Toyota production in Japan

11 February 2016

Toyota has suspended production at all vehicle assembly lines in Japan as a result of an explosion in a steel plant that left it short of parts.

The company, the world’s biggest auto manufacturer, confirmed that production would be halted until February 15.

Sixteen vehicle assembly lines are expected to be closed as a result of the explosion of a steel furnace.

The supplier, Aichi Steel Corporation, said it believed a gas leak had caused the explosion and that it would try to maintain supply from its inventory as much as possible. It did not expect to be able to restart production until late March.

Work at Toyota plants outside the country will not be affected.

In an incident which shows how easily Toyota’s supply chain can be disrupted the company is expected to produce 70,000 fewer cars this year. It produced more than 10m cars in 2015.

Toyota relies on the Aichi Steel Corporation plant to produce speciality steels used for engine, chassis and transmission parts.

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