Global chip shortage: Toyota profits fall as production hit

Japanese motor industry giant Toyota saw its profits fall by 21% for the last three months of 2021 as the global chip shortage hit production.

The company said that its third quarter operating profit came in at 784.4bn yen (£5bn; $6.8bn).

The world's best-selling carmaker also cut its annual production target by 500,000 vehicles to 8.5 million.

It comes as manufacturers around the world are struggling to find enough microprocessors for their products.

"We sincerely apologise for the inconvenience caused to our customers due to the series of production volume reductions since last summer. We are working to restore full production as soon as possible," Toyota said in a statement.
In September, Toyota slashed its worldwide vehicle production by 40% because of the chip shortage.

Rival carmakers including Volkswagen, General Motors, Ford, Nissan, Daimler, BMW and Renault have also cut vehicle production in recent months.