Japan’s Honda Motor Co said on Thursday it would slash car output at two Japanese factories due to supply chain problems.
The car firm will cut production by 40% at its Saitama plant, outside Tokyo, and by about 20% in its Suzuka plant in western Japan.
Honda blamed delays in receiving parts and logistics on Covid-19 outbreaks and semiconductor shortages. The output reduction will affect vehicles including the Vezel sport-utility vehicle, the Stepwgn minivan and Civic compact car.
Production Problems
Honda’s production at the two plants returned to normal for June after an earlier reduction but it began making adjustments again for July.
Honda’s rival Toyota Motor Corp last week lowered its October production target by 6.3% to about 750,000 vehicles because of a shortage of semiconductors.
That announcement came about a week after it had lowered the production target for that month to around 800,000, about 100,000 short of its average monthly production plan.
The automaker said last month it would cut vehicle production at Suzuka by 40% and Saitama by 30% in early October.
- Reuters, with additional editing from Alfie Habershon
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