Honda Automobile Thailand uncertain as to when production will resume; flood impact rippling out to other Honda plants
31 October 2011
Honda Automobile (Thailand) Co., Ltd. (HATC), the Honda automobile production subsidiary in Thailand (headquarter in the Rojana Industrial Park, Ayutthaya), issued a statement saying that it does not have a clear outlook for when production will resume as flooding on its facilities has continued since 8 October 2011. HATC suspended production on October 4, due to parts supply disruptions.
The flooding in Thailand has been the the worst in 50 years.
Thai Honda Manufacturing Co., Ltd. (Thai Honda), Honda’s motorcycle and power products production subsidiary in Thailand (headquarter in Bangkok), does not have any flood water on its property, but has been suspending its motorcycle production since 11 October, and power products production since 6 October, due to parts supply disruptions. Thai Honda is scheduled to suspend its production until 4 November. Concerning production from 7 November onward, Honda will make decisions while monitoring the situation.
Other Honda plants in Asia have been making adjustments to production volume or suspending production due to the limited parts supply from Thailand.
In Japan, Honda's automobile production operations at the Suzuka and Saitama Factories will begin production adjustments on 7 November, due to the limited parts supply from Thailand. Honda is making progress in procuring alternative parts, and the timing to normalize production will be determined while monitoring the situation in the future.
Honda operations in other regions also are being impacted by the limited parts supply from Thailand. Each operation is carefully examining the situation.
Why would anyone build a new multi-billion $$ airport and large factories in low lands, prone to frequent flooding, without proper protection dykes/dikes and water pumps. With possible future ocean water level rise, it will become a necessity in many places.
Posted by: HarveyD | 31 October 2011 at 09:44 AM