Toyota Plans Production Cut in Japan

In April Toyota Motors Corp. will trim its vehicle production rate in Japan by about 10% to 12,000 units per day, The Nikkei says, without citing a source.

The reduction anticipates slower sales beginning in April when Japan increases its general sales tax to 8% from 5%. Other Japanese carmakers are doing the same.

The Nikkei says Toyota is expected to boost production before the tax hike of its Aqua small hybrid and Harrier SUV models to meet an expected surge in sales ahead of the higher tax rate.

Toyota announced earlier that it expects to build nearly 3.2 million vehicles in Japan in 2014, down 6% from last year.