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Honda to cut output by up to 30% at Japan plants on supply snag

Honda to cut output by up to 30% at Japan plants on supply snag

A worker conduct quality checks on Honda Fit vehicles at the Honda Motor plant in Yorii, Saitama prefecture, Japan, Mar 8, 2016. (File photo: Reuters/Thomas Peter)

TOKYO: Honda Motor said it would slash production by up to 30 per cent in Japan next month against original plans due to persistent supply chain and logistical issues.

Two lines at its Suzuka plant in western Japan will reduce production by about 10 per cent this month and by about 30 per cent in early August versus previous plans, Honda said late on Thursday (Jul 21).

Its assembly plant in Saitama prefecture, north of Tokyo, will also cut back production by about 10 per cent early next month.

Honda has not disclosed its monthly production target.

Automakers have been unable to shake off the impact of COVID-19 lockdowns in China and a shortage of semiconductors.

Toyota Motor said this week its global production for August would be about 700,000 units, down roughly 18 per cent from its plans at the beginning of the year.

Honda adjusted its production plan in May but had said it would return to normal in early June.

Source: Reuters/ng
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