Honda Plans To Resume Limited Production

DETROIT (WWJ) – Honda says it expects to resume auto and motorcycle production in Japan on Wednesday. But in an e-mail Thursday to U.S. dealers, it said it can’t guarantee when production will return to full capacity.

Automotive News Magazine’s Peter Brown says Honda has always run a lean inventory, a good business practice under normal circumstances. But Japan’s earthquake and tsunami will really hurt business. He says one of Honda’s big plants was hit hard by the earthquake.

“There’s rolling blackouts, there’s no power at all, there’s water problems. Running a car plant requires that your plant be whole and in some cases that is not true anymore there,” says Brown.

“A major Honda plant was really hit very hard, so we will see how soon they can get that one back up,” says Brown.

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