KATHMANDU: Toyota is facing a supply shortage of the RAV4 in the US, with some customers reportedly waiting for months to take delivery of the popular SUV.
The shortage has left dealerships with large gaps in their inventory as demand for the redesigned, hybrid-only RAV4 continues to remain strong.
At Colonial Toyota in Milford, Connecticut, dealership owner Bobby Crabtree told CNBC that the dealership has space for around 250 more vehicles but is currently only about one-third full.
Customers are also experiencing long waiting periods. One couple who ordered a RAV4 in March reportedly waited around six months before taking delivery.
Hybrid-only RAV4 faces supply constraints
Toyota introduced the redesigned RAV4 in the US as a hybrid-only model. Initially, supplies were sourced from Japan and Canada while Toyota retooled its production facility in Kentucky.
Production has now started at the Kentucky plant. However, the gradual production ramp-up has limited the number of vehicles reaching dealerships.
Earlier this year, some Toyota dealers reportedly had only a few hours’ worth of RAV4 inventory. One California dealership was also reported to have more than 800 customers waiting for the SUV.
Despite the supply constraints, demand for the RAV4 remains strong in the US.
Toyota sold nearly 480,000 RAV4 units in the US last year, making it the country’s third-best-selling vehicle, behind only the Ford F-Series and Chevrolet Silverado.
The shift to a hybrid-only powertrain could further strengthen its position as demand for fuel-efficient vehicles increases.
According to J.D. Power, hybrids accounted for more than 18% of US new-vehicle sales this year.
Toyota’s overall US sales have also increased this year despite the RAV4 supply shortage.
The company is now increasing production at its Kentucky facility to improve RAV4 availability. However, dealers may continue to face tight inventory until production fully catches up with demand.
