Thai Floods Force Honda Philippines to Close

Nov. 3, 2011
Will not re-open until it can find alternative suppliers to those in Thailand

Honda has suspended production at its Philippine plant because suppliers in flooded Thailand are unable to deliver parts, a company official said on Nov. 3.

Honda Philippines shut its factory this week and will not re-open until it can find alternative suppliers to those in Thailand, human resources manager Joseph Tacorda said.

"At this point, we are still waiting for materials to come in from other manufacturing centers of Honda because Thailand has been cut off," Tacorda said, adding it was not yet clear when fresh supplies would be delivered.

Honda Philippines, a subsidiary of Honda in Japan, assembles and distributes five vehicles locally, including the CR-V sport utility vehicle and the Accord coupe, according to the company's website.

Honda was the third biggest seller of cars in the Philippines in the first eight months of the year with 9,062 units sold, or 9.7% of the market, according to the local auto industry association.

Three months of unusually heavy rains and a failure to release enough water from dams early in the monsoon season have caused Thailand's worst floods in half a century, killing 437 people and submerging large parts of the country.

Honda had already announced on Oct. 31 that it would slash production at its North America plants by 50% this week because of the supply problems in Thailand.

Copyright Agence France-Presse, 2011

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