As chips become scarce, Honda to adjust production in North America

Honda to monitor uncertainty in supply of automotive chips
Honda's Anna Engine Plant. BRYANT BILLING / STAFF

Credit: Bryant Billing

Credit: Bryant Billing

Honda's Anna Engine Plant. BRYANT BILLING / STAFF

Leaders of Honda will monitor new uncertainty in the supply of semiconductors for modern autos — and “adjustments” in production are expected as soon as this week, a spokesman for Honda in Ohio said.

“We are currently managing an industrywide semiconductor supply chain issue, making strategic adjustments to production as necessary to carefully manage the available supply of parts and meet the needs of our customers,” a spokesman for Honda said Monday.

“Production adjustments, which include temporary reductions or production suspensions, will begin during the week of Oct. 27, involving our mass production auto plants in North America,” he added. “As we anticipate this to be a fluid situation that requires flexibility, we will not be providing plant specific information nor speculating beyond this period.”

Honda employees will have the option to work at impacted facilities, use their paid time off, or take time off with no pay, he added.

In September, the Dutch government said it took control of Nexperia, a semiconductor producer based in the Netherlands, which was bought out by Chinese company Wingtech in 2019.

Reuters news service reported that the Dutch government cited fears the company’s technology would be taken over by Wingtech.

The business makes automotive chips for electronic systems in vehicles made across the globe.

China responded by blocking exports of the firm’s finished products.

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