Toyota Motor Corp is to halt production at its Japanese plants for 11 days in February and March as it tries to reduce stocks of unsold cars.
December sales for Toyota in the United States were down by 37%. The United States is the company's largest market.
Toyota had already announced a three-day production halt this month at its 12 plants - four car assembly plants and eight for engines, transmissions and other components.
The company will suspend operations at the 12 plants for six days next month and another five days in March. The company says it will treat these 11 days as a paid holiday.
Toyota previously halted output in 1993 for one day as a strong yen hammered sales.
Cars built in Japan make up about 40% of Toyota's sales in the United States.
Honda Motor Co and Nissan Motor Co have both cut production plans by at least 200,000 vehicles for the year ending in March. Further adjustments are expected in January-March.
Toyota warned two weeks ago it would post an operating loss this year - its first ever.
Tyre maker also hit
The financial daily Nikkei reported on Tuesday that Japan's top tyre maker, Bridgestone Corp, expects its operating profit to fall 15% in 2009.
Bridgestone lowered its operating profit estimate for 2008 last month.