Thursday, May 19, 2011


Honda Brazil has laid off 400 workers at its Sumare plant and will reduce output there by half due to a shortage of electronic parts from Japan. The lay-offs equate to 12 percent of staff at the unit.
The plant will cut daily output to 300 units from 600 and reduce its three shifts to two starting in June, Honda said in an e-mailed statement.
Shipments of auto parts to several countries were delayed as Japanese suppliers were affected by the March 11 earthquake and tsunami, the company said.
“Honda hopes to return to its regular activity level as soon as the situation goes back to normal”, Honda said.
The automaker forecasts a drop of 30 percent for production and 20 percent for sales in Brazil this year, O Estado de S. Paulo newspaper reported today, citing Paulo Takeuchi, director of the automaker in the country.

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