Parts shortage from Thailand forces Honda Malaysia to stop production

SOURCE: CLICK ME

In a statement, the company said the floods have caused a huge number of factories in the supply chain to shut down, which include Honda Automobile (Thailand) Co Ltd and other major suppliers which supply parts to Honda Malaysia.

However, Honda Malaysia is actively accessing the situation and its parts suppliers’ recovery.
Honda Malaysia is also studying the feasibility of sourcing parts from other countries until its suppliers’ production in Thailand returns to normal.

“We announce with regret that we have to temporary halt production in Pagoh Plant, in Malacca due to parts shortage.

“We apologise for the delay of delivery and we appreciate the understanding of our customers. We are doing all we that can within our capacity to recover the production here in Malaysia as soon as possible,” said Honda Malaysia managing director and chief executive officer Yoichiro Ueno.

Assembling work at Honda Malaysia's Pagoh plant has 
stopped from today.

“The good news is that all our fully imported models such as the Insight, Stream and Freed are not affected, except for Jazz that is imported from Thailand, which we have sufficient stock to meet the current market demand,” he added.

Asian Honda Motor Co Ltd has recently donated 100 million baht (RM10mi) to Thai Red Cross Society to help flood victims in Thailand.

Honda Malaysia will keep its customers informed of the plant’s progress and it looks forward to bringing good news to the customers.


END OF SOURCE...

My (Jeff Lim's) comments: Two days ago, I visited a Honda Showroom in Petaling Jaya. The Salesgirl told me that they have Limited stocks (while stock lasts) for ALL CKD Hondas and Honda Jazz. >10 units Civic 1.8 and 2.0, >15 units NEW Accord, >15 units New City, >10 units New Jazz in Malaysia

.  Next batch of CKD will arrive only in February Earliest. As a result they "DON'T HAVE CAR TO SELL". Honda Malaysia were forced to bring the CR-Z and Jazz Hybrid to Malaysia earlier than expected. The CR-Z's coming in 2 weeks time while the Jazz Hybrid is coming in December.

In a meantime, Freed (Indonesian Made), Stream and Insight production uninterrupted.

Latest from Ayutthaya - Toyota's three factories shut down

October 19, 2011  By KON

SOURCE: CLICK ME

The situation at the flood-hit Thai region of Ayutthaya continues to worsen. Last week, we reported that Honda has halted operations of its plant there. Toyota, whose three plants are all situated away from Ayutthaya, is not directly affected.

Toyota Corolla Altis - one of many Thai-assembled Toyota models in Malaysia

However, according to a media statement released by UMW Toyota Motor Sdn Bhd today, Toyota Motor Thailand Co. (TMT) has decided to halt operations at its three plants at Samrong, Gateway and Ban Pho due to shortage of parts from affected suppliers.

An extended shut down of these three plants will inevitably affect the Malaysian market as they supply majority of UMWT's fully-imported CBU models and CKD kits for its locally assembled models. At this moment, however, UMWT has stated that deliveries for October 2011 are not affected, although this will not continue if the flooding situation worsens.


“Our commitment to our customers remains topmost in our priority. We are closely monitoring on the parts supply situation in Thailand and will provide any updates or information in a timely manner. We sincerely hope for the quickest possible recovery and appreciate our customers and business partners understanding during these difficult times” said En. Ismet Suki, President of UMW Toyota Motor.

Car production bases to remain in Thailand despite floods

 

(picture source AFP)

BANGKOK: Despite the floods, car makers will not shift their production bases from Thailand but will only suspend production due to the shortage of auto parts, Thai News Agency (TNA) reported.


Piangjai Kaewsuwan, president of the Thai Automotive Industry Association, said on Thursday although industrial estates in Ayutthaya province were flooded and automobile and auto parts manufacturers affected, the floods should not prompt car-making companies to move their production bases from Thailand because it was a temporary natural disaster.

Piangjai, however, said she expected the supply of auto parts to drop by 10-20 percent.

She added that the Thai automotive industry should take at least three months to recover and that the actual automobile production should reach at least 1.5 million units this year instead of the annual production target of 1.8 million vehicles.

Toyota, Ford, Nissan and Isuzu companies have so far suspended their production for two days to assess the situation, saying they may source auto parts from China and India instead.

Meanwhile, Anuparp Tadpitakkul, state affairs director of Ford Operations (Thailand) Co, said the company suspended its production for two days to examine its stocks of parts as seven plants were affected.

However, he said he did not think the floods will have an impact on the long-term investment of the company in Thailand.

Some 10 Malaysian companies have been found affected by the severe flooding.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said most of them were involved in the automotive and electrical and electronic sectors.

"Those who are affected operate in the flooded Ban Wa, Rojana and Navanakorn industrial parks," he told reporters after the ministry's monthly assembly in Kuala Lumpur today.

The Thai News Agency reported Deputy Prime Minister Kittirat Na-Ranong as saying that the ongoing flood crisis could reduce the country's GDP growth by at least 0.6-0.9 per cent due to expanding damage to its farm and industrial sectors.

 -Bernama(Photo by AFP)

Floods disrupt auto production in Thailand

BusinessWeek

BANGKOK
Severe flooding has forced a halt to Honda's and Toyota's assembly lines in Thailand that account for about 7 percent of their combined global car production. American automakers Ford and General Motors are faring better.

Typhoon-driven flooding has whipsawed the Southeast Asian country since late July, killing more than 280 people and inflicting billions of dollars in damage. Flood waters from higher ground in northern and central Thailand are now menacing the capital Bangkok.

The disruption to production at Toyota Motor Corp. and Honda Motor Co. comes just as they bounce back from the March 11 earthquake and tsunami in Japan that destroyed autos parts suppliers and upended car production around the world.

Source (click me)

Customers assured of cars and parts despite Japan quake

The Star Business: Monday, March 14, 2011

Customers assured of cars and parts despite Japan quake


SOURCE: http://www.star-motoring.com/News/2011/Customers-are-assured-of-cars-and-parts.aspx

The companies are UMW Toyota Motor, Honda Malaysia, Edaran Tan Chong Motor which distributes Nissan vehicles and Perodua whose technical and technology partner is Daihatsu Motor Company of Japan.

UMW Toyota Motor said its Malaysian customers would not encounter any interruption to the supply of Toyota and Lexus models as sales and order taking would continue as usual.

Delivery schedules to all customers are not affected presently.

Toyota Motor Corp has temporarily suspended production at all plants Monday, March 14 until Wednesday, March 16.

Edaran Tan Chong Motor executive director Datuk Dr Ang Bon Beng said there were no immediate negative impact to the company’s business as there were sufficient inventories for both CKD and CBU models.

Nissan of Japan has temporarily suspended operations of all production facilities in Japan until March 16.

The Japanese company has also pledged to donate 30 million yen (RM1.11mil) to the NGO Japan Platform as initial assistance.

Honda Malaysia said supply of Honda models to Malaysia was normal.

Honda Malaysia managing director and CEO Yoichiro Ueno said, "Our inventory for the four CKD models of Accord, CR-V, Civic, City, and the other four CBU models in Malaysia is sufficient for the next one to two months.

"We are monitoring the situation closely and will make the relevant announcement when we have more information."

Honda Japan has suspended production at all its major plants for a week from March 14 in support of the nationwide recovery efforts.

Meanwhile, Perodua managing director Datuk Aminar Rashid Salleh said the devastating tsunami and earthquake in Japan has not affected Perodua’s engine components imports from the country nor cause any disruption to its manufacturing plans domestically.

He said between 10% and 20% of engine parts from Japan were used in three Perodua models – the Myvi, ViVA and Alza.

“Our hearts and sympathies go out to the victims and families of this tragedy. To express our heartfelt sympathy Perodua will be donating RM50,000 to the Japanese government through their embassy in Kuala Lumpur,” he said.