Japanese automakers suspend taking orders amid chip shortages

Japanese automakers are delaying delivery of vehicles and suspending new orders for some models largely due to the need to cut production amid a global semiconductor shortage.

Eight major carmakers say they assembled roughly 3.4 million vehicles in the first half of this year. That’s a drop of more than 14 percent from the same period last year.

Toyota Motor is not accepting new orders for the sport utility vehicle Land Cruiser. The firm says it will take up to four years to deliver Land Cruisers because the number of orders is far above output capacity.

Toyota also says that owing to a limited number of units available for delivery it had to cancel some orders.

Nissan Motor and Honda Motor also aren’t taking orders for some models. A growing number of customers at other automakers are having to wait several months to have their vehicles delivered.

Cases of the coronavirus were found at factories in July, leading some assembly lines in Japan to suspend operations.

Analysts say it will likely take some time for vehicle production to return to normal.

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