Toyota Confronting Widespread Factory Stalls in Asia

Toyota Motor Corp is currently having to contend with idle factories in Asia, reducing the automaker’s estimated output by over 47,000 units this month. Shockingly, it’s not alleged to have anything to do with the semiconductor shortage that’s been wreaking havoc on Western markets.

With chip production having been localized primarily in China and Taiwan, Asian suppliers have had better access to them. But Eastern markets have still been subjected to other routine plant closures due to supply chain restrictions stemming from the pandemic. Existing protocols in China, combined with renewed restrictions in Japan, have created a situation impacting numerous automakers with Toyota announcing this week that it probably won’t reach its goal of manufacturing 9 million cars this year — though it made sure to include the ongoing semiconductor issue as relevant.

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Jaguar Land Rover to Close UK Factories in November, Cites Brexit

Jaguar Land Rover intends to close factories in the United Kingdom for a week in November. While the move is to safeguard the company against a messy Brexit, the company has said it will take place whether or not the nation actually splits from Europe at the end of October. JLR Chief Executive Officer Ralf Speth confirmed the company’s decision late last month.

Brexit has been a long time coming. While the UK voted to leave the European Union over three years ago, considerable energy has gone into postponing the event to either undo the vote (via a follow-up referendum) or delay things long enough to reach a trade agreement with the EU. Automakers have encouraged a deal in order to avoid supply chain disruptions. However, Prime Minister Boris Johnson has said the nation has waited long enough, promising a no-deal Brexit on October 31st if an accord cannot be reached beforehand.

While JLR won’t be the only automotive manufacturer to temporarily shutter European plants over Brexit fears, reports suggest it’s likely to be the one with the broadest implications.

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  • 28-Cars-Later Actually Honda seems to have a brilliant mid to long term strategy which I can sum up in one word: tariffs.-BEV sales wane in the US, however they will sell in Europe (and sales will probably increase in Canada depending on how their government proceeds). -The EU Politburo and Canada concluded a trade treaty in 2017, and as of 2024 99% of all tariffs have been eliminated.-Trump in 2018 threatened a 25% tariff on European imported cars in the US and such rhetoric would likely come again should there be an actual election. -By building in Canada, product can still be sold in the US tariff free though USMCA/NAFTA II but it should allow Honda tariff free access to European markets.-However if the product were built in Marysville it could end up subject to tit-for-tat tariff depending on which junta is running the US in 2025. -Profitability on BEV has already been a variable to put it mildly, but to take on a 25% tariff to all of your product effectively shuts you out of that market.
  • Lou_BC Actuality a very reasonable question.
  • Lou_BC Peak rocket esthetic in those taillights (last photo)
  • Lou_BC A pickup for most people would be a safe used car bet. Hard use/ abuse is relatively easy to spot and most people do not come close to using their full capabilities.
  • Lorenzo People don't want EVs, they want inexpensive vehicles. EVs are not that. To paraphrase the philosopher Yogi Berra: If people don't wanna buy 'em, how you gonna stop 'em?