Friday, February 17, 2012

Honda Doubling Europe Production


Honda is attempting to double its vehicle production in Europe to reduce the reliance on foreign production plant imports after an awful year that devastated production levels across the world. Honda is aiming to increase production at its main Swindon plant in England from 97 000 units last year to 180 000 units this year. Honda believes this approach will allow them to respond better to the increasing yen and allow the company to escape unscathed from natural disasters around the world that crippled Honda's Japanese plants and Thailand plants last year. Honda's European sales have taken a nosedive since the 2008 economic crisis and continues to nosedive from a lack of new product and strategic focus. Honda is changing this with the new Civic that is coming to the UK, the new CR-V coming this fall and the refreshed Jazz coming later this year too. Along with increased production facilities, Honda's Swindon plant will produce a smaller 1.6L diesel engine which will add 500 workers and a second shift to the plant. Honda is also looking to expand its R&D in Europe but there are no concrete plans as of yet. 

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