Toyota global output falls again, targets in doubt

STORY: Toyota’s July global vehicle output has dropped again the company said on Tuesday (August 30), falling 8.6% year-on-year.

It is the fourth straight month Toyota has missed its targets.

Raising concerns the world’s largest automaker may have to lower its annual production target of 9.7 million vehicles.

Toyota produced 706,547 vehicles worldwide last month, below its target of around 800,000 units.

The global health crisis, severe weather and a recall probe on top of a persistent chip shortage mean production in the last four months has fallen 10.3% short of its initial plan.

But Toyota is eager to make a strong comeback.

The company said earlier this month it would hold to its annual production target as it planned to raise output through November.

And it hopes that September production will rebound to around 850,000 vehicles.

However, one analyst argued uncertainty over stable chip procurement means Toyota is not out of the woods yet.