Toyota to suspend production at two U.S. plants after lag in sales

Toyota factory workers can breathe a sigh of relief. Although the manufacturer plans to suspend production at two U.S. plants in response to a major lag in sales following its massive recent recalls, company spokesman Mike Goss announced that the company will be retaining all of its employees during the suspensions in production set to take place in Kentucky and Texas.

The suspensions are measures intended to adjust production levels after the sales haults earlier this month. “We don’t want inventory to build up for our dealers,” Goss said. “We can’t keep sending vehicles to dealers until they can start moving those vehicles.”

Though no official plans have been announced, the Kentucky plant, which produces the Camry, will be going dark on Feb.26 and possibly a few days the following week. Texas will be halting production the week of March 15, and then again in mid-April. That plant normally produces the Tundra pickup, and will be modified to begin producing the Tacoma during the suspension.

NHTSA complaints against Toyota have also spiked, totaling 34 complaints alleging deaths involving Toyota vehicles since 2000.

The company has launched an extensive PR campaign and is consodering variety of incentives in order to lure customers back to the brand.

– By: Stephen Calogera

Source: CNNMoney