Toyota plans to cut global output capacity some 700,000 units+

NAGOYA, Aug. 26 Kyodo - Toyota Motor Corp. is considering cutting its annual group global production capacity by around 700,000 units from the current 10 million vehicles in response to the continued global auto slump, company officials said Wednesday.

The production cuts will be made primarily by idling existing plants because
outright closures will likely be costly and the company also wants to be ready
in the event of a future recovery in car demand.
Toyota, which has Daihatsu Motor Co. and Hino Motors Ltd. under its wing,
expects to turn out 6.68 million vehicles worldwide this year, which means that
it is saddled with surplus output capacity.
Toyota plans to close down one of the two production lines at its Takaoka
factory in Toyota, Aichi Prefecture, from next spring to the second half of
2011 to trim output by 220,000 units.
It will transfer the production of the Ractis and ''ist'' compact cars at the
factory to group firm Kanto Auto Works Ltd.'s plant in Iwate Prefecture, and
that of the Vitz compact car to a factory of Toyota Industries Corp. in Obu,
Aichi Prefecture.
The Takaoka facility will undergo renovation and some of the workers there will
be assigned to work elsewhere during the plant closure.
Toyota is also studying a plan to suspend factory operation in Britain's
Derbyshire for a production cut of another 150,000 units.
The automaker will soon announce the closure of New United Motor Manufacturing
Inc., a California-based joint venture with General Motors Co., for an output
reduction of 300,000 units.
==Kyodo