Honda discontinues most North American production due to a lack of chips

The company said today that Japanese carmaker Honda will “suspend production” for one week at most of its plants in the US and Canada due to factors including shortages of parts.

A Honda spokesman in Japan said the company was dealing with “a number of supply chain issues related to the impact of Covid-19, congestion at various ports, lack of microchips and severe winter weather for the past several weeks”, especially in Texas. France Press agency.

“In a way, all of our auto factories in the US and Canada will be affected, as most plants will temporarily suspend production during the week of March 22,” the spokesman said.

Since the mode is “flexible”, the timing and length of the “production adjustments” may change.

Even when production is suspended, the spokesperson said, Honda workers would still be able to work in affected factories.

The Covid-19 pandemic has disrupted supply and demand patterns around the world, leading to support operations at major ports.

A shortage of silicon wafers is also forcing carmakers to scale back production around the world.

Ford has said it will drastically cut production of its best-selling F-150 truck due to a semiconductor shortage, while General Motors has announced that it will suspend work at three plants in North America.

With a strong demand for microchips across various industries – especially as PC sales increased during shutdowns – chip makers turned their attention to other customers.

US President Joe Biden promised to address the problem and make supply chains safer and more reliable by increasing production of some key items in the United States.

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