Friday, 01 April 2011 00:01

Honda Cuts Daily Output in North America

Honda cut daily output at its U.S. and Canada assembly plants by as much as 50 percent starting on March 29, when it disclosed the plans in memos to employees and suppliers, according to reports by Automotive News.

Even though Honda has a high percentage of North American-supplied content in its vehicles, the cuts in output are evidence that the shortage of even a single part can shut down, or severely hamper, a factory.

"We're not shutting down anything," Honda spokesman Ed Miller said. "While we are continuing to keep all North American plants open, we will be reducing production selectively, on a temporary basis, to cope with parts supply issues."

In the United States, Honda builds the Accord, Acura TL, Acura RDX, CR-V, Element, and Accord Crosstour in Ohio. The Civic is assembled in Indiana. In Lincoln, Ala., Honda manufactures the Odyssey, Ridgeline, and Pilot.

Among the worst hit by Japan's devastating earthquake and tsunami, Honda said it will resume limited vehicle assembly on April 11, after having its plants offline for four-straight weeks.

Honda had previously said its two domestic assembly plants would be down at least through April 4, says both the Sayama and Suzuka factories will be running April 11. Honda cautioned that restored vehicle assembly in Japan will continue at only half its normal rate.

The company will also resume production of parts and replacement parts on April 4 for shipment overseas. That move should help alleviate parts shortages in North America.

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