System failure halts Toyota’s production

A SYSTEM malfunction of Toyota’s just-in-time production system has forced the suspension of production at all 14 of the company’s Japanese plants this week, resulting in an estimated output loss of some 13,500 cars.

Citing a “glitch” that prevented the component ordering, Toyota said the shutdown was “likely not due to a cyberattack”.

Toyota suspended operations at 12 plants – including the partial shutdown of two engine plants – in its home market from Tuesday morning, adding the final two the same afternoon. In all, some 25 production lines were affected.

The shutdown has impacted almost one-third of Toyota’s total global production.

Toyota’s Japanese vehicle production system was operating at full capacity at the time of the glitch meaning there is little opportunity to make up for lost output.

“Output was running at full capacity so there is little additional room for production,” said Tokai Tokyo Research Institute analyst, Seiji Sugiura.

Public broadcaster NHK reported Toyota was able to reopen its Miyata plant in the southern prefecture of Fukuoka from Wednesday morning, but it remains unclear when production at the factory would resume.

Toyota said it is continuing to investigate the issue.

The news comes as high-profile corporations and government offices across Japan are on high alert following a series of threatening phone calls.

Government officials report the calls were likely from China and related to Japan’s release of treated radioactive water from the damaged Fukushima nuclear power plant into the Pacific Ocean.

The plant was destroyed by an earthquake and subsequent tsunami in 2011.

Toyota has been the victim of a cyberattack previously with Australian offices targeted in 2019 and Japanese production facilities in 2022. The latter occurred shortly after Japan announced it would side with Western allies against Russia following the invasion of Ukraine.

At the time, Toyota described the incident as a “supplier system failure”.

Like this week’s “glitch”, the 2022 incident closed all 14 of its domestic production facilities – including Daihatsu, Hino and Lexus – and caused the loss of production of thousands of vehicles.

Toyota produces models including the 4Runner, Camry, Corolla, Prius, RAV4 and Yaris in Japan, as well as most Lexus variants.