Mitsubishi Fuso Truck & Bus Corp., a unit of Daimler AG, will hike production cuts in Japan as the global recession erodes demand.

The company will halt production next month at its Kawasaki factory for eight days and cut one of two daily shifts on an assembly line making light-duty trucks, it said in a faxed statement. Fuso will halt output of small buses for three days at its plant in Aichi Prefecture.

Domestic production will be 25 percent lower in January compared with November, the company said.