Breaking News : 8 Japan Automakers Expect 40%-Plus Cut in Jan-March Domestic Output

TOKYO : January 23, 2009 - The Nikkei reports that Japan’s eight automakers are expected to produce 1.7 million or so vehicles from their domestic factories in the January-March quarter, down more than 40% from a year earlier.

This total reduction of 1.3 million units is seen as the largest on record and may rise further depending on sales trends. Usually, automakers boost domestic output this time of year for the sales battle ahead of the March 31 end of the fiscal year.

Among the projected reductions:

• Toyota, down 40% in January and down more than 50% in February and March.
  
• Nissan, down 30%+ in January, and possibly 40-50% in February March
  
• Honda, down 30-40% for January-March

The big production cuts by the automakers are sure to affect related sectors, such as manufacturers of autoparts, materials and machine tools, and will likely lead to further job losses.

[Source : NIKKEI via GreenCarCongress]