Honda Siel Cars India is the latest overseas Japanese car producer to announce production cuts as a result of parts shortages from Japan. It will reduce output at its Greater Noida plant by about 50% from May.
Marketing and sales head Jnaneswar Sen said: “We are experiencing gaps in our supply chain due to the situation in Japan, resulting in production cuts. We are moving to single shift operations from May, 2011, while carefully monitoring the situation. We plan to get back to normal production as soon as supplies normalise.”
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The Indian unit, which assembles various models including the City sedan, said the situation with parts supply in Japan “remains fluid, production of component parts and vehicles at Honda plants is at approximately 50% of the original production plan”.
“Most of Japan-based Honda suppliers are making progress to restart production, and many either have or are ready to resume parts production. However, there are a few suppliers that have yet to resolve the challenge to resume their production. In those cases, Honda is working with its suppliers to help reestablish their operations, while evaluating other possible sources for those parts in the supply chain.
“Honda is making every effort to work towards a full recovery after July to reduce inconvenience to customers.”
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