Nikkei. Honda Motor said Tuesday that it intends to reduce production from April to December at its minivan and sport utility vehicle factory in Alabama due to falling demand caused by rising gasoline prices.
The plant, which manufactures the Odyssey minivan and Pilot SUV has an output capacity of 300,000 units. Honda will trim production by 27,000, or 9%.
Beginning in April, daily output on the first assembly line, which currently assembles the Odyssey minivan, will be cut to 500 from 650. The total number of vehicles produced can be flexibly adjusted because the same model can be made on multiple lines.
There will be no work force reductions, according to the automaker.
Honda is not reducing its 2006 sales target of 1.51 million new vehicles in the US, up 3% on the year.