Honda Temporarily Cuts Production at Two Japanese Plants

Due to the new crona virus epidemic, the supply of parts from China was difficult, and Honda Motor will temporarily reduce output at two factories in Japan. It is reported that the reduction in production will continue for several days from the beginning of March, when the production of Honda’s two factories in Saitama will be reduced by hundreds.

It is reported that the two plants with reduced production mainly produce Vezel utility vehicles and Odyssey minivans. According to a supplier executive, “In recent weeks, there have been signs of shortages in components such as brakes and doors at these two plants.”

However, Honda Motors is not the only automaker affected by the outbreak. Previously, Hyundai Motors shut down a factory in Ulsan, South Korea, because employees tested positive for the new crown virus. Shortly after Nissan stopped production at a Japanese plant, Toyota also warned that operations in its Japanese plant could be affected by supply chain issues, and Daimler and Jaguar Land Rover issued similar warnings. In China, several factories, including Honda, have suspended production; the annual Geneva International Auto Show also chose to cancel due to the spread of the epidemic.

As a capital-intensive industry, the automobile industry cannot operate without a large inventory of parts and components. A small problem in the supply chain can cause widespread chaos and quickly cause losses of millions or billions of dollars. This makes it particularly vulnerable to the global spread of the new crown virus

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Due to the new crona virus epidemic, the supply of parts from China was difficult, and Honda Motor will temporarily reduce output at two factories in Japan

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