Toyota expects vehicle production to exceed pre-pandemic levels, forecasting output of as many as 10.6 million vehicles during 2023 while warning that final shipments could be 10 percent lower if it is unable to procure enough parts, especially semiconductors.
The newly issued target would be a significant jump from the planned 9.2 million vehicles that the automaker forecasts for the fiscal year through March.
Toyota made 9.05 million vehicles in 2019.
As the world’s No. 1 No. 1 automaker, Toyota is a bellwether for the rest of the global automobile industry and its suppliers.
Volkswagen Group said last week that it expects supply bottlenecks to ease and that it was confident for 2023, citing higher orders.
Even so, parts shortages stemming from COVID-related lockdowns have challenged the industry, on top of rising costs for materials and logistics.
“Currently, we are working toward a production volume with a ceiling of 10.6 million units for 2023,” Toyota said in a statement Monday, adding that there is a “downward risk fluctuation range of approximately 10 percent.”
Despite predicting a recovery last year, the company had to lower its production outlook for the current period in November, citing a persistent lack of chips.
