Business | Feb 26

Daihatsu's Oita Factory Restarts with a 10-Model Lineup

TOKYO, Feb 26 (News On Japan) - Daihatsu Motor Co. has resumed production of ten vehicle models, including its mainstay mini vehicles, at its factory in Oita Prefecture, which had been halted due to an issue with improper certification acquisition. However, the scale of the production resumption, including models for which a plan has been established, remains limited to 40% of Daihatsu's total domestic production, raising concerns about the prolonged impact on suppliers and related businesses.

In late December last year, Daihatsu suspended operations at all of its domestic automobile factories due to the certification scandal. Following the Ministry of Land, Infrastructure, Transport and Tourism's lifting of the shipping suspension for two commercial vehicle models, production resumed at the Kyoto factory on the 12th of this month. On the 26th, Daihatsu Kyushu, a subsidiary, restarted production of an additional ten models at the Oita plant.

Starting around 5 a.m. on the 26th, employees began entering the factory one after another. A man in his forties, who said he was a temporary worker, expressed relief: "During the shutdown, there was absolutely no work, and life was tough. I'm glad production has resumed." The production resumption includes the company's mainstay light commercial vehicle "Hijet" and the mini vehicle "Mira e:S." The combined production volume of these ten models in the last fiscal year was over 280,000 units, accounting for 30% of Daihatsu's total domestic production.

While the company is preparing to restart production of three more models at the Shiga factory after April 4th, nine models, including the mainstay mini vehicle "Tanto," have not yet had the shipping suspension lifted by the government. With the production resumption limited to 40% of the total, including models for which a plan has been established, there is growing concern over the long-term effects on small and medium-sized enterprises that are part of the supply chain.

Source: NHK

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