JAPAN CARMAKERS FACE LONG CONTRACTION

       Global production at Japan's top auto-makers sank again in July, dragged down by a prolonged slump in demand and lingering uncertainty over a recovery in the battered industry.
       Toyota Motor, the world's biggest auto company, yesterday said its global output dropped 20.1 per cent from a year earlier to 576,074, making the 12th straight monthly decline.
       Earlier in the day, Toyota said it was pulling out of a California factory joint venture it had previously run with General Motors - the frist time the Japanese auto gaint is closing a major car assembly plant ever.
       The move came after the The auto giant withdrew from the 50:50 joint venture in May.
       Toyota said it would not be "economically viable" to keep production at the California joint venture.
       Hit by plummeting global demand, the company racked up its worst loss ever of 436.9 billion yen(Bt159 million)for the previous fiscal years, and is expecting more red ink for the fiscal year through March 2010.
       Toyota's production in the United States fell 20.8 per cent in July to 63,360, while its output in Japan dropped 30 per cent to 261,099. Honda Motor, Japan's No 2 auto-maker, said its global production in July tumble 24.3 per cent to 258,972, down for the ninth consecutive month. Its output in the US dropped 37.6 per cent, while that for Europe nose-dived 48.9 per cent - the 13th straight monthly decline.
       Nissan Motor said the pace of decline in global production was becoming moderate, with its worldwide output down 15.9 per cent to 265,623 in July.
       But the company, allied with Renault SA of France, said it remained unclear when demand at home and abroad would pick up.
       "We cannot really say when demand will recover. Overall, global demand remains sluggish except China," said Nissan spokesman Mitsuru Yonekawa.
       China is the bright spot for Nissan with its putput in the world's third-largest economy soaring 42.8 per cent to 54,265 in July, thanks to rising consumer demand.
       Yonekawa said the Teana sedan is selling well in China.
       Mazda Motor reported a 16.4-per-cent drop in global production at 105,434 vehicles.
       Mitsubishi Motors said its global production in July came at 63,540, down 45.6 per cent year-on-year.
       It marked the 17th straight monthly decline.