Toyota Motors plans to reduce its production volume by 100,000 vehicles over the next six months, pointing to the logistical problems it has absorbed during the past three months due to the closing of the Strait of Hormuz. The new production target involves Toyota operations outside Japan, and mainly involves gas-powered vehicles produced for Middle East and Asian markets.

Previously Toyota had planned to cut its production total outside Japan by 38,000 vehicles between May and November this year, and subsequently raised that volume to 83,000 vehicles.

At the same time as these reductions are impacting the automaker’s program in Asia, Toyota announced the start of assembly operations for the new RAV4 Hybrid crossover vehicle in Georgetown, Ken. That plant is the object of $2 billion worth of capital investments announced since 2024, to assemble new electric and hybrid vehicle products. It will launch production of a new Highlander battery electric vehicle in September.

Toyota also has started construction for a new painting operations at Georgetown, which it claims will cut its carbon emissions by 30% and reduce water consumption by approximately 1.5 million gallons/year.

The closure of the Strait of Hormuz in the Persian Gulf has been Iran’s reaction to the attacks begun in February by the U.S. and Isreal, aiming to eliminate Iran as a threat to regional peace. The closure has severely impacted supply chains, as major ocean freight carriers have rerouted their vessels and restructured their delivery schedules.