Toyota's China production hit again by labour unrest: report | autos | Hindustan Times
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Toyota's China production hit again by labour unrest: report

autos Updated: Jun 22, 2010 14:48 IST

Japanese car giant Toyota said it had halted production at an assembly plant in southern China on Tuesday due to a strike affecting an affiliated auto parts manufacturer, Dow Jones Newswires reported.

The walkout at Denso (Guangzhou Nansha), a unit of Toyota-affiliated parts maker Denso Corp, is the latest in a spate of labour disputes to hit foreign companies in China, highlighting discontent among millions of workers.

It has forced Toyota to idle two assembly lines at its plant in the city of Guangzhou due to a shortage of fuel-injectors and other components, said the report, which cited Beijing-based Toyota spokesman Hitoshi Yokoyama.

The suspension comes just days after operations resumed at assembly lines of Tianjin FAW Toyota in the northern city of Tianjin.

Production had been stopped there briefly due to a three-day walkout at a plant run by Toyota-affiliated Tianjin Toyoda Gosei.

Denso (Guangzhou Nansha) in Guangdong province, China's manufacturing hub, also supplies parts to Toyota's rival Honda Motor Co and other carmakers, according to Dow Jones.

China-based spokesmen at Toyota and Guangqi Toyota, its Guangzhou-based joint venture with a Chinese partner, either declined to comment or were unavailable.

A Beijing-based Honda spokeswoman said that the company's car production in China "is not affected by the incident at the moment."

Honda had been hit earlier by recent strikes that have put a spotlight on complaints about low pay and long hours for the masses of migrant workers who have fuelled the Chinese manufacturing and export miracle.

Honda offered a 24 per cent pay rise to staff at its main parts factory to end a strike, while employees at a plant making locks and key sets agreed to go back to work last week as negotiations on wages continues.

Toyota also has assembly plants jointly run with Chinese partners in Sichuan province in the southwest.