WDET News
- Honda Cuts North American Vehicle Production
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Dec 12, 2008Automotive & Business - Link to Audio
Honda has announced that it’s cutting the number of North American vehicles it will produce in the first quarter. Detroit Public Radio’s Jerome Vaughn has details.
SOQ
Honda says it will reduce its planned output for the first three months of the year by 119,000 cars and trucks. The automaker says it plans to make about 175,000 North American vehicles during that period.
The company says five plants in the U-S and Canada will be affected by the action.
Honda says the production cuts come in response to a steep decline in demand for new vehicles. The North American auto industry has been hard hit by the effects of the global financial crisis, dwindling consumer confidence and restricted access to credit.
The circumstances have pushed General Motors and Chrysler to ask the federal government for billions of dollars in loans to survive the rest of this year.
Transplanted automakers have been hurt as well. Honda’s U-S sales fell 32 percent in November.