Toyota to halt production in Japan after suspected Cyber-Attack

Toyota will shut down all 14 of its factories in Japan on Tuesday after a possible cyber-attack. A supplier Kojima Industries Corporation suspected it had been attacked by a cyber-attack, causing a halt to production, according to news site Nikkei.

Japanese factories account for about a third of Toyota’s production. It told the Wall Street Journal it did not know whether the factories would remain closed beyond Tuesday.

Toyota said it will lose around 13,000 cars by stopping production for an entire day.

Although further details of the attack were not given, a Toyota spokesman described it as “supplier system failure.”

“It is difficult to say whether this has anything to do with Russia before making thorough checks,” he told reporters.

Toyota is a pioneer in the “just-in-time” supply chain style, meaning suppliers bring in components as they are needed, and the company does not stockpile inventory. This promotes efficiency and waste reduction but can make it vulnerable to larger supply chain issues, as has been the case throughout the COVID-19 pandemic.