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Update #3: Impact of Thailand Flooding on Honda’s Automobile Operations in North America

Production Adjustments Continue

Due to continued flooding in Thailand, a number of Honda suppliers have been unable to maintain the supply of parts to Honda. As a result, Honda will continue managing the parts supply in North America by taking the following actions:

•    Honda will continue temporary production adjustments at all six Honda auto plants in Canada and the U.S.
•    Auto production rates will vary from plant to plant, but some plants will produce at rates above the previously announced 50 per cent of the original plan through November 30.
•    All plants in Canada and the U.S. are expected to produce at normal levels on December 1 and 2.  Production plans after December 2 will be announced in the future.

In 2010, more than 92 per cent of the Honda and Acura automobiles sold in Canada were produced in North America.  While most of parts and materials used to produce these products are purchased from North American suppliers, a few critical electronic parts are sourced from Thailand and other regions of the world.  Honda is working closely with its suppliers in Thailand and throughout its global network to reestablish the flow of parts for the products made in North America.  

Honda remains focused on minimizing the impact to its associates and their families and plans no layoffs at any of its North American facilities.  Non-production days will continue to be treated as “no pay, no penalty,” meaning Honda associates can report to work, use a vacation day, or take the day off without compensation or penalty.

Honda deeply regrets any inconvenience this may cause to its customers.

For prior information on this topic see, Nov. 8 and  Oct. 31, 2011, Impact of Thailand Flooding on Honda’s Automobile Operations in North America.

Richard Jacobs - 905-888-4102
John Thibodeau (Media Profile) - 416-342-1821