23 Dec 2011

Toyota to increase production by 20%

10:51 am on 23 December 2011

Toyota plans to increase production by 20% next year as it tries to recover ground lost due to March's earthquake in Japan and the recent floods in Thailand.

The company aims to produce 8.48 million vehicles in 2012, and increase sales by a quarter to 8.65 million.

Japanese carmakers have had a tough year so far, with production affected by the earthquake and tsunami on 11 March and also flooding in Thailand. As well as this, the strong yen is putting pressure on sales overseas.

Earlier this month, the company halved its profit forecast for this year.

The BBC reports it now expects a net profit of 180 billion yen ($US2.3 billion) for the year ending 31 March 2012, compared with its previous forecast of 390 billion, which was made in August.