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Honda halves Swindon production due to parts shortage | Honda halves Swindon production due to parts shortage |
(40 minutes later) | |
Honda is to halve production at its factory in Swindon from Monday because of a shortage of parts coming from Japan. | Honda is to halve production at its factory in Swindon from Monday because of a shortage of parts coming from Japan. |
Honda said that the 3,000 workers would remain on full pay. | Honda said that the 3,000 workers would remain on full pay. |
It was confident that the 22,500 fewer cars that would be built as a result could be made up by the year end. | It was confident that the 22,500 fewer cars that would be built as a result could be made up by the year end. |
Many carmakers have struggled because of shutdowns to plants affected by the earthquake and tsunami in north east Japan. | Many carmakers have struggled because of shutdowns to plants affected by the earthquake and tsunami in north east Japan. |
Honda has just resumed manufacturing at its Japanese plants, but has now said that production of component parts and vehicles would only be at 50% of the planned level. | Honda has just resumed manufacturing at its Japanese plants, but has now said that production of component parts and vehicles would only be at 50% of the planned level. |
It announced last month that it would resume production and shipment of component parts in Japan on 4 April and resume car production at its plants at Suzuka and Sayama on 11 April. | |
The company said that the vast majority of the parts used in Swindon are made in Europe. | The company said that the vast majority of the parts used in Swindon are made in Europe. |
It added that its flexible working policy would allow it to make up for the lost production later in the year using "banked hours". | It added that its flexible working policy would allow it to make up for the lost production later in the year using "banked hours". |
The Swindon plant has the capacity to make 250,000 vehicles a year. | |
Other carmakers, such as Toyota and Nissan, are understood to be facing similar parts shortages to Honda. |