Production suspended until at least the end of January
The production in Japan will be suspended until at least the end of January while authorities the irregularities in the security checks examined. “We are aware that the production stop and compensation payments will cost a significant sum,” said Daihatsu manager Keita Ide. “However, it is difficult to accurately calculate the impact at this stage as it is unclear how long this period will last.”
Daihatsu wants to keep various options open to deal with the costs of the production stoppage and other fallout from the scandal, including possible bank loans, Ide said. The car manufacturer is already in talks with financial institutions. Toyota announced that it would fully support its wholly owned subsidiary, including with loans that were already available to compensate dealers and suppliers.
The company had already announced that it would compensate 423 direct suppliers. Production stopped at all Japanese plants this week.