One Month After Quake, OEMs Slowly Revive Japanese Production

Exactly one month after the first earthquake and subsequent tsunami rocked Japan, today marks an important day at several manufacturing plants for Toyota and Nissan. It’s when several sites are expected to come back into service in at least partial capacity.
According to the latest update from Toyota Motor Corp., the company is going forward with its plans to restart operations at its at Central Motor’s Sagamihara Plant in Kanagawa Prefecture.
Furthermore, beginning April 18 and running through April 27, Toyota intends to produce vehicles at all its Japanese vehicle-production facilities. However, officials indicated production volume is planned to be approximately 50 percent of normal.
After April 27, Toyota noted all production facilities will enter their annual spring holiday schedule through May 9. The OEM said a decision on post-holiday production will be made after assessing the parts supply situation.
The automaker pointed out these developments follow production resumption on March 28 at TMC’s Tsutsumi Plant in Aichi Prefecture and at Toyota Motor Kyushu in Fukuoka Prefecture.
Toyota Updates North American Operation Plan
Along with giving details of what it plans to do in Japan, Toyota also shared what strategy it’s employing in North America.
Over the next few weeks, officials indicated Toyota’s North American vehicle plants will operate on a reduced schedule with production suspended on April 15, 18, 21, 22 and 25. They believe most of the company’s North American engine and component plants will follow the same schedule.
Future production plans will be determined at a later date, according to the company.
On these non-production days, the company insisted it will continue to provide employment for its approximately 25,000 regular North American team members.
“Team members not required to work may report to work for training and plant improvement activities, use vacation, or take unpaid time off,” officials stressed.
On average, the OEM highlighted about 85 percent of the parts and materials for the 12 North American-built Toyota and Lexus models are sourced from 500 suppliers on this continent. While production of some parts and materials continues in Japan, Toyota emphasized that it’s working closely with affected suppliers in order to minimize the impact.
“The situation in Japan affects many automakers and many other industries. Extraordinary efforts are underway to help suppliers recover,” stated Steve St. Angelo, executive vice president of Toyota Motor Engineering and Manufacturing North America.
“We are slowing down to conserve parts yet maintain production as much as possible,” St. Angelo continued. “We appreciate the flexibility of our team members, suppliers and dealers as we work through these issues.”
Update on Nissan’s Timetable
Meanwhile, news from Nissan’s headquarters in Yokohama is upbeat as well.
Nissan officials declared that they’re ready to resume normal operations based on delivery of parts from suppliers. They explained all plants will resume operation as follows:
—Oppama Plant: Resume operations today.
—Tochigi Plant: Resume operations on April 18.
—Kyushu Plant: Resume operations on Wednesday.
—Nissan Shatai: Resume operations today.
—Nissan Shatai Kyushu: Resume operations on Wednesday.
The automaker went on to mention that its Yokohama Plant, part of its powertrain production network, already is back in operation, while its Iwaki Plant is projected to resume operations on April 18.
“As operation levels will still be limited, we forecast a production level of roughly 50 percent against the original planned volume up to the end of April, depending on delivery status of parts,” Nissan officials emphasized.
“Nissan will continue to provide necessary support to our suppliers to ensure their swift restoration to normal levels,” they continued.
“Nissan is focusing all efforts to ensure swift restoration of its production operations,” company officials went on to stress. “Additionally, the entire Nissan group is committed to quickly restoring its sales network in the regions impacted by the earthquake. We understand this has caused many inconveniences to our valued customers, but ask for their continued support and understanding.”
Honda Production Still Slowed
Honda officials offered their latest production update, too, announcing that temporary levels of reduced production will be extended one week through April 22.
“We anticipate that additional production adjustments will continue after that date,” company officials conceded.
“Honda is making every effort to return to full production as soon as possible,” they added. “At the same time, we remain focused on minimizing the impact to associates and their families. Honda plans no layoffs at any of its North American facilities.”
The automaker recapped that it began to implement a strategy of temporary adjustments that reduce daily production levels at its U.S. and Canadian auto plants on March 30, as a result of interruptions in parts supplies from Japan in the aftermath of the earthquake and tsunami.
“Honda is making every effort to keep plants operating without extensive interruptions,” the company insisted.