Honda resumed its operations in Thailand, six months after the floods

Article by Christian A., on March 26, 2012

Almost six months after floods in Thailand had halted Honda’s auto production at factory in Ayutthaya, it has been able to resume operations. Honda had said last January that its Thailand production will be fully operational in April. Honda had said that the impact of the floods has led to the lost production of 260,000 vehicles worldwide for the business year that ends this month.

Honda was the worst affected as it had owned the only car plant flooded in. The production of competitors like Toyota and Nissan has normalized by the end of 2011 as they discovered alternative sources for parts outside of the interrupted supply chain.

In 2011, Honda's worldwide output declined by around 20% to 2.91 million cars, falling below 3 million for the first time in eight years. All the other Japanese automakers, with the exception of Nissan, produced fewer cars. However, the declines were much milder than what Honda experienced.

Last January, Honda said that for the business year that ends March 31, it predicts an operating profit of 200 billion yen ($2.6 billion). This profit prediction is short of the 270 billion yen forecasted in August. Honda was forced to revise this guidance due to the uncertainty of when auto production may restart in Thailand. Like other car companies, Honda struggled under the strengthening yen that made exports less profitable.

Topics: honda, thailand

If you liked the article, share on:

Comments

Recommended

Are you a big fan of legendary boxer Mike Tyson, the former heavyweight world champion? Or are you a big fan of the iconic Ferrari F50? Either way, you will...
by - February 24, 2017
It seems that AM-RB 001 hypercar is not the only vehicle project that Aston Martin and Red Bull Racing has gone into. This time, don’t expect something as outlandish as...
by - February 24, 2017
The year 2018 marks the golden anniversary of Subaru of America. Of course, the company will celebrate 50 years of being at the helm of the brand’s crusade in North...
by - February 24, 2017
During car crashes and accidents, there are times that its occupants can’t get out easily. There are times when the only way to get out of that situation is to...
by - February 23, 2017
Could this be a special version of Ferrari’s much acclaimed LaFerrari? No matter how we look at it, the patent images for this sports car from Ferrari indicate its striking...
by - February 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries