HONG KONG (MarketWatch) -- Hino Motors Ltd, a unit of the Toyota Group, will shutter its truck assembly plant in California, becoming the first Japanese truck maker to shutter a U.S. assembly line in recent times, according to a media report Thursday.
Hino /zigman2/quotes/209422954/delayed JP:7205 +2.05% will shutter its California production facility in July, a move that will halve its annual North American production capacity to 4,500 units, the Nikkei newspaper reported, without saying where it got the information.
Shares of Hino climbed 3.8% at midday in Tokyo Thursday.
Hino will transfer truck production from the California plant, which produced fewer than 5,000 vehicles last fiscal year, to its remaining U.S. vehicle-assembly line in West Virginia.
Hino's production of passenger car parts for parent Toyota /zigman2/quotes/200537742/composite TM +2.44% /zigman2/quotes/203803129/delayed JP:7203 +1.23% will continue at the California plant, the report said.
Production at Hino's truck line in Ontario will be unaffected.
Output at Hino's three North American production facilities fell 30% to about 6,000 vehicles in the fiscal year that ended March 31.