Toyota, Honda suspend production in Malaysia

Toyota Motor Corp and Honda Motor Co. halt operations in Malaysia (Photo: AFP/ VNA)

Kuala Lumpur, (VNA) - Toyota Motor Corp and Honda Motor Co. have ceased operation of their factories in Malaysia after this Southeast Asian country initiated a national lockdown to curb the spread of COVID-19 on June 1.

Local authority required the automobile sector in Malaysia to keep the minimum number of workers at 10 percent or lower. Toyota and Honda said they cannot maintain production with the reduction in workers. The two companies also have factories in Thailand and Indonesia, where COVID-19 is still raging. If the level of community transmission rises in those countries, Toyota and Honda will face a slowdown in production.

Toyota has two factories in Selangor state which produced around 50,000 vehicles last year while Honda's factories in Penang and Malacca have annual capacities of 300,000 motorbikes and 100,000 cars.

In a recent statement, Malaysian Prime Minister Muhyiddin Yassin emphasized that "drastic measures", including the closure of economic and social sectors, are needed due to the increase of COVID-19 cases./.