Toyota will shut down an assembly line at one of its old Japanese plants and shift production of the redesigned Prius hybrid to another factory to increase efficiency, a report in a Japanese newspaper said on Friday.

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Prius production will move from the Motomachi plant in Aichi Prefecture to the Tsutsumi plant, also in Aichi, by the middle of next year when the car is fully redesigned, the Nihon Keizai Shimbun said.

The newspaper said this would reduce Toyota’s domestic production capacity.

Toyota recently announced the move of all pickup production out of Japan to Thailand, a move some commentators said made sense due to strong pickup demand there compared with minimal sales in Japan.

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