Honda is dealing with the economic struggles in its own way and today announced further cutbacks in production that will directly impact their market share. Not only is the market in the United States struggling, but overseas markets are also struggling under the weight of economic strife.
Honda is halting production at Swindon’s factory in the U.K. for two months next year in a move that is being described as the biggest manufacturing slowdown seen so far in Britain during the economic struggles. No cars will be produced during February and March 2009 as the Japanese automaker tries to bring production in line with demand. The company has pledged that there will be no job losses and has said that it wants to retain its 4,800 workers.
While retaining the workers is certainly a good move, the problem arises with making workers wait two months. Many will probably move on, or hope to move on, while Honda sorts out its production issues. This production cut is a significant one and stands as a stark indicator of just how bad things are getting in the automotive field.
Domestically, it’s not much better. While Honda is doing relatively well for itself in the United States in comparison to other U.S. automakers, it is still struggling. For more information on how the economic troubles will impact the automotive industry long-term, drop by your local Pottstown Honda dealer.