Honda Motor Company will reduce production of gasoline cars. This year one may be closed, and next year the second one, from which cars for the Celestial market come off. This was reported by Reuters, citing sources within the industry.
Japan’s second-largest automaker will shut down one of its two gasoline-vehicle plants, a joint venture with Guangzhou Automobile Group (GAC). Sources call the date of termination of work June of this year.
Honda is also considering the possibility of suspending the operation of another plant (out of six available), jointly owned by Honda Motor and Dongfeng Motor Group. This event could happen before the end of next year.
The publication notes that this event marks a further retreat for Honda in one of its key markets. The reason for this behavior is said to be high competition from Chinese automakers.
Earlier it became known that Honda had been painting cars with low-quality enamel for 14 years. The company is facing a class-action lawsuit over defective white paint that allegedly peels, bubbles and peels on many models.
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