We had reported recently that Toyota is cutting down production in India due to supply chain problems emanating from the after effects of the tsunami in Japan. The same problems have also been affecting Honda as well. In a move that was considered inevitable, Honda has decided to cut down on production in India due to a squeeze on the availability of parts. While this is bad news for Toyota and Honda, it will be music to the ears of their competitors who can look at increasing sales of their own products. This now means that there is a big question mark about the launch dates of the Toyota Liva (the hatchback version of the Etios) and the Honda Brio, the new small car from Honda that was to be launched later in the year.