Daihatsu, a subsidiary of ToyotaTM US, will compensate suppliers for the suspension of production

Mondo Technology Updated on 2024-01-31

**: Zhitong Finance App

Zhitong Financial APP learned that Toyota Motor Corporation (TMA spokesman for Daihatsu, the small car division, said on Monday that it would compensate 423 domestic companies with which it has direct business relationships as Japanese factories continue to suspend production due to safety scandals.

The spokesman said that Daihatsu has stopped production in Japan and will stop production until the end of next month. The Company will consider compensating its suppliers based on past business volumes and is working to assess the impact of the shutdown on its large network of suppliers.

Daihatsu said on Wednesday that it had halted shipments of all vehicles, including nearly two dozen models sold under the Toyota brand, after a safety investigation found problems involving 64 models.

The spokesperson added that the company will work with major contractors to deal with the impact of the scandal and may also help small subcontractors who have not received compensation to obtain support funds from the Ministry of Industry.

Daihatsu's overseas business is mainly concentrated in Southeast Asia. The spokesman said that after receiving regulatory approvals, two joint venture factories between Daihatsu and Malaysian automaker Perodua have resumed production of Perodua brand vehicles.

Daihatsu Motor said last week that it had resumed shipments from its Indonesian subsidiary, Ptastradaihatsumotor, on Friday.

Related Pages