Toyota lifts annual profit forecast, looking at alternate sources for China-made parts

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Toyota lifts annual profit forecast, looking at alternate sources for China-made parts
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Toyota Motor Corp raised its annual operating profit forecast by 4.2% o...

) raised its annual operating profit forecast by 4.2% on favorable currency rates and better-than-expected vehicle sales, but added that the impact of the new coronavirus was difficult to gauge and not yet been factored in.

Vehicle output at many factories in China has come to a standstill as automakers have suspended operations in line with government guidelines to prevent the spread of the virus which has led to nearly 600 deaths in the country. “We are looking very closely at inventories of components which are made in China and used in other countries, including Japan, and at the possibility of alternative production,” Operating Officer Masayoshi Shirayanagi told a news conference.

Japan’s biggest automaker said it now expects operating profit for the year to end-March to climb to 2.5 trillion yen , up from 2.47 trillion yen a year earlier and in line with market estimates.

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