Automakers and Auto Industry and Honda and Toyota and Manufacturers and Manufacturing & Technology

Honda's U.S. plants to resume normal output

November 28, 2011

Honda Motor Co. said six plants in the U.S. and Canada will reach normal production levels on Dec. 1 after having to adjust output this month because of floods in Thailand.

The company, Asia’s third-largest automaker, said in a statement on its website that flooding in Thailand “continues to have some impact to our parts supply” and that it’s working with suppliers “to fully re-establish the flow of parts.”

Honda, based in Tokyo, abandoned full-year profit forecasts because of the Thai floods. The company said Nov. 8 that the six plants in the U.S. and Canada were running at 50 percent to 75 percent of planned output.

Honda's Indiana plant in Greensburg employs about 2,000. While the plant, about 50 miles southeast of Indianapolis in Decatur County, has cut production in recent months, it hasn't eliminated workers.

The floods deferred plans by Honda and Toyota Motor Corp., Asia’s largest carmaker, to increase production and rebuild inventories that were depleted by Japan’s March 11 earthquake and tsunami. Toyota said Nov. 23 its North American plants will operate on normal schedules this week and next. Toyota said at the time it will determine later production schedules based on parts availability.

Toyota operates an Indiana factory in Princeton, almost three hours from Indianapolis, where about 4,700 work. 

Honda has said 87 percent of its cars and trucks sold in the U.S. were produced in North America last year. Most parts for those vehicles were purchased in North America while some electronic parts were bought from Thailand.
 

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