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[BUSINESS] · Thailand · 2 sources

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Toyota and Honda suspend Thai production due to flooding

Heavy rainfall and flooding across Thailand have forced major automakers, including Toyota and Honda, to temporarily suspend production at several plants. The Federation of Thai Industries (FTI) estimates that industrial damages, including automotive-related sectors, have reached at least 1.018 billion baht.

Toyota has suspended operations at four facilities, including three of its own plants and one operated by its joint venture, Toyota Auto Works. While some factories have avoided direct flooding, production has been hindered by employees being unable to commute due to flooded residential areas and disrupted transportation.

Honda Automobile (Thailand) has halted production at two plants in Prachinburi and Ayutthaya from October 2 to October 6. The company cited the inability to receive parts from suppliers in flood-affected areas such as Chonburi and Rayong.

While direct damage to machinery has been mitigated in some areas, the disruption to the ‘just-in-time’ supply chain and the difficulty of worker commutes remain primary challenges. Companies plan to recover lost production volumes through overtime and makeup shifts once conditions stabilize.

Entities

Federation of Thai Industries · Honda · Thailand · Toyota