Interesting, I personally don't think we need it and it would put a small dent into Civic sales....
by Stephen Edelstein of www.greencarreports.com
U.S. buyers can already get the new 2015 Honda Fit hatchback, and they'll soon have the Fit-derived HR-V subcompact crossover utility vehicle as well.
But could there be a third version of the small Honda on the way?
A test model of the Fit four door sedan that's currently sold in other markets as the Honda City has now turned up in California.
A photo of the rear of a Honda City was posted by user "thedailyrey" on the Honda-centric Temple of VTEC forum recently.
The car sports a license plate reportedly used by Honda for vehicles in its public-relations fleet.
It was spotted near the company's facility in Torrance, California.
A "City" badge is clearly visible on the left side of the trunk lid,
although it's possible Honda could change the car's name if it decides
to launch it in the U.S.
If Honda does bring the City to the U.S., it will have a smaller
sedan that can slot in below the Civic compact--which has grown
considerably over the years.
The City is the same size as the Civic was a few generations ago,
showing just how much size bloat (or "bracket creep") has affected most
longstanding models in the market.
The Honda plant that already builds the Fit and HR-V in Celaya, Mexico, could potentially add capacity for the City as well.
The City is offered with a variety of small gasoline, diesel, and flex-fuel engines in other markets.
Honda would most likely fit the 1.5-liter Earth Dreams four-cylinder engine used in the Fit hatchback and the HR-V if the City sedan arrived in the U.S.
That engine, combined with a continuously variable transmission
(CVT), is rated at 36 mpg combined by the EPA--one of the highest
ratings for any subcompact.
When Honda unveiled the current-generation City in late 2013, it said
the car would eventually be sold in more than 60 markets worldwide.
While the U.S. still hasn't been confirmed as one of those markets,
the presence of a City on the streets of California suggests that Honda
is seriously considering the possibility.
Source;
http://www.greencarreports.com/news/1096712_will-u-s-get-honda-fit-sedan-to-join-hatchback-hr-v-test-car-spied
Showing posts with label Honda North America. Show all posts
Showing posts with label Honda North America. Show all posts
Tuesday, February 10, 2015
Thursday, December 11, 2014
MotorAuthority: U.S.-Spec Honda Civic To Receive Turbo Four From Global Civic Type R: Report
by of Viknesh Vijayenthiran of www.motorauthority.com
Honda’s Civic hatchback sold overseas is set to spawn a new Type R variant complete with a turbocharged and direct-injected 2.0-liter four-cylinder engine spitting out more than 276 horsepower (we hear the final figure may be closer to 320 hp). Sadly, this model isn’t headed to the U.S. anytime soon but some of its mechanicals may be on their way.
A source close to Honda has revealed to MotoryRacing that a major update is coming for the U.S.-spec Civic, and among the changes will be the availability of the Type R’s engine. Importantly, the source also revealed that engine won’t be dropped into the lame-duck Civic Si, suggesting that a new high-performance variant may be in the offing, perhaps even with Type R badging.
The reveal of the updated is Civic is said to be taking place in the spring, which means we could see it introduced for the 2016 model year.
for the rest of the artical, follow this link;
http://www.motorauthority.com/news/1028281_u-s--spec-honda-civic-to-receive-type-rs-turbo-four-report
Honda’s Civic hatchback sold overseas is set to spawn a new Type R variant complete with a turbocharged and direct-injected 2.0-liter four-cylinder engine spitting out more than 276 horsepower (we hear the final figure may be closer to 320 hp). Sadly, this model isn’t headed to the U.S. anytime soon but some of its mechanicals may be on their way.
A source close to Honda has revealed to MotoryRacing that a major update is coming for the U.S.-spec Civic, and among the changes will be the availability of the Type R’s engine. Importantly, the source also revealed that engine won’t be dropped into the lame-duck Civic Si, suggesting that a new high-performance variant may be in the offing, perhaps even with Type R badging.
The reveal of the updated is Civic is said to be taking place in the spring, which means we could see it introduced for the 2016 model year.
for the rest of the artical, follow this link;
http://www.motorauthority.com/news/1028281_u-s--spec-honda-civic-to-receive-type-rs-turbo-four-report
Tuesday, July 29, 2014
Newsweek: How Honda Drives Its Workforce
Interesting read....
by Jeffrey Rothfeder of www.newsweek.com
One reason for the success of Honda as an
automobile maker in the US is its unconventional approach to hiring key
executives. In this excerpt from his new book, Driving Honda: Inside the
World’s Most Innovative Car Company, Jeffrey Rothfeder describes how
Honda concluded that a former Marine Reservist would make a great
manager.
Sam Fluker is a man who easily commands respect. He's
about 30 years old, large and imposing, a former Marine Reserve. But
it's not just his bearing that compels people to listen to what he
says. It is also his dark eyes, determined and searing.
At the Honda plant in Lincoln, Alabama, where he is an
inventory control manager, Fluker supervises upward of 300 people, who
log, inspect, and dispatch supply parts into the factory as they
arrive in a steady stream by day and night.
Fluker, who is black, grew up in the Lincoln area, in a
lower middle-class neighborhood, and graduated from Auburn University
about two hours south of his hometown with a degree in systems
engineering.
He never expected to work in an automobile factory.
Rather, upon finishing college, he envisioned a life as an officer
in the Marines, and if he eventually did work in the private sector,
it would be in the supply chain of a clean business like Walmart or
in a relatively light industry like textile manufacturing.
But that tidy plan changed when he met Honda
recruiters at an Auburn job fair in his senior year. By this point,
Fluker was in his early twenties, married, and his wife was pregnant;
he was a bit overwhelmed by his responsibilities but felt that
his military aspirations would provide a smooth transition into a
relatively stable career in which he didn't have to worry about losing
his job and his income.
Upon meeting Fluker at the fair, the Honda executives
imagined his future differently. The Lincoln factory, the most
advanced in Honda's portfolio, would open in August 2001, within the
next year, and the automaker was looking for dependable, self-reliant,
meticulous, principled, and creatively thoughtful people to work there.
Experience in the auto industry -- or any knowledge of
auto manufacturing, for that matter -- was not a requirement;
conscientiousness, an independent disposition and assiduousness were.
Fluker had these characteristics in spades.
In a series of interviews for the job at Honda, Fluker
was asked about his home life and his goals, his hobbies and his
passions, how he would address specific personal challenges at work
involving coworkers -- belligerence, bullying, undercutting and
tattling, for example -- more than he was queried about his knowledge
of logistics and supply chains or his unfamiliarity with the
automobile sector.
As the interviews progressed it became clear to him that
Honda would make him an offer that would ultimately lead to a
management role.
"I think I got them with my work ethic and my personal
story of what I achieved on my own -- to be a senior in college,
working a full-time job, having a wife, a baby on the way, and being a
Marine. And I was honest to a fault with them. I didn't even think I
wanted the job, so I had nothing to lose,” said Fluker.
"In fact, it probably would have been easier if I didn't
get the job so I could just do the plan I had in mind for myself.
Turns out, that's exactly the kind of person they love to hire."
Indeed, Honda’s hiring and employee promotion
practices, like so many aspects of the company, defy logic — at
least of the sort that most other organizations subscribe to.
The unorthodox ways that Honda chooses employees — and the unorthodox
employees that Honda chooses—stand in sharp contrast to typical auto
industry practices.
Most automobile manufacturing jobs are filled by people
who evince a love for vehicles, some technical knowledge about cars and
the personality to follow directions closely, whether in a lean
Japanese factory or a less disciplined American plant — a formula
that Honda perceives as limiting and lacking in imagination.
Instead, Honda seeks workers who have charted an
irregular course, whose path in life has been a bit odd and
unconventional. And the farther they’ve strayed from the auto
industry — and are free of the preexisting biases about how automobile
manufacturing should be done — the better. “We want independent
people, who can see auto manufacturing with fresh eyes, not blind
followers,” said Honda CEO Takanobu Ito on many occasions.
Ito’s comment is a sanitized and more practical version
of the qualification that Soichiro Honda said he looked for when
making hiring decisions, according to lean expert James Womack,
coauthor of The Machine That Changed the World. Asked for the single
most important attribute that an ideal Honda applicant should have,
Soichiro noted that he preferred “people who had been in trouble.”
Soichiro was obviously being cheeky. But not entirely so.
In only a slightly roundabout way, he was articulating Honda Motor’s
third critical organizational principle: respect individuals and,
more precisely, individualism.
Since the company’s founding, Honda has stood alone
in aggressively questioning and then often breaking the rules for how a
successful industrial outfit should behave. That contrarian streak
has gotten Honda into uncomfortable feuds with, for example, the
Japanese Ministry of International Trade and Industry, which Honda
defied upon making and then exporting its first cars, and with rival
Japanese companies in calling for trade liberalization that would
permit more imports of products from global rivals.
Moreover, that attitude has drawn skepticism (undue, as it
turns out) after some of Honda's more outrageous departures from the
norm, such as the decision as a start-up to construct its own dies
and stamping equipment (and since then virtually all of its factory
hardware and software), its longshot entries against established
companies in world-class motorcycle and Formula l races, or its
confidence that it could build an engine that cleared the
Environmental Protection Agency's pollution standard before any other
carmakers.
Such untempered innovation in ideas and practice can
only be achieved with employees who, in fact, wouldn't flourish --
who would, in Soichiro's words, be in trouble -- in organizational
models constructed primarily around rules and structured systems, no
matter how progressively or intelligently plotted, Honda believes. Or
put positively, an individual who can thrive in paradox and
contradiction, who would instinctively explore the way things are
traditionally done expressly to contradict them -- who, in fact, sees a
glass not as half full or half empty, but as twice the size that
it needs to be and considers designing a vessel with different
dimensions -- would be a suitable Honda candidate.
In this, as in many other ways, Honda views itself as
the mirror image of Toyota, its oldest rival. In a recent interview
with me, Womack recalled a wonderfully humorous conversation he had
with Shoichiro Irimajiri, who ran Honda's North American operations in
the 1980s, in which Irimajiri depicted the personalities of the two
giant Japanese automakers through colorful descriptions of their
employees.
“'I will now imitate Toyota man,'" Womack remembered
Irimajiri saying. "At which point Irimajiri puts on blinders and then
proceeds to walk straight into the wall and fall down. He said, 'Ah,
Toyota man. Very, very good in a straight line. But no peripheral
vision, like the Roman legions.’ ”
Then, Irimajiri said, according to Womack: “‘Ah, now,
Honda man.’ Without the blinders, Irimajiri’s down crouching behind
the furniture and he’s running around from one side of the room to
the other, and he says, ‘Honda man, guerrilla fighter. Honda man loves
chaos. Toyota man hates, hates chaos.’ ”
Honda’s off kilter approach to hiring—its belief that
each individual must actively redefine the contours of his or her
job rather than the other way around—has produced some eyebrow-raising
employment policies, starting at the very top.
Each of Honda’s CEOs came up through the company’s
engineering ranks. And all of them at some time were former chiefs
of the automaker’s prized autonomous research and development unit.
That’s an extraordinary record: conventional wisdom among
multinationals holds that the most effective chief executives are
specialists in marketing, sales, or perhaps accounting, anything but
engineering. As a result, even CEOs in technologically based
industries, like pharmaceuticals or computer hardware and software,
tend to know little about designing or manufacturing the products that
they sell.
Still, that’s not considered a disadvantage because the
skills that engineers are thought to have most are believed to be the
least valuable to a corporation’s financial performance.
Source;
http://www.newsweek.com/how-honda-drives-its-workforce-261814
Source;
http://www.newsweek.com/how-honda-drives-its-workforce-261814
Monday, March 10, 2014
Want the Honda Civic Type R in the U.S./Canada? Sign the Petition!
Can The Power of Dreams Finally Bring the Type R to Our Shores?
by Karla Sanchez of www.motortrend.com
The Honda Civic Type R concept shown at the 2014 Geneva Motor Show appears to be the last straw for the Honda faithful. Tired of getting teased with forbidden fruit, one enthusiast took initiative and started a petition on Change.org demanding the Japanese automaker bring the racier Civic to the 'States.
Honda's slogan, after all, is "The Power of Dreams."
"Honda enthusiasts demand that the discrimination against our market stops right here. There is no excuse anymore.
If other countries can enjoy the best Honda has to offer, we should be able to enjoy the same rights," reads the petition.
As of this writing, there are 5602 signatures, but even if the petition reaches the maximum amount of signatures, what does that mean?
On the site, Honda spokesman Chris Martin commented that it's nice to see so much enthusiasm, and while he "can't promise anything," he said the company would take all the support into account.
It's no wonder Honda fans are so riled up over the Type R. Much of the car's aggressive styling comes from the Civic World Touring Car Championship race car, which, incidentally, won said championship last year.
The concept wore functional aerodynamic aids all around, and its handling is said to be influenced by the race car as well. Underneath the hood is Honda's new 2.0-liter VTEC Turbo engine, which we were able to sample in the Type R prototype last year. We called it a riot, and enjoyed the "275 + hp" it had to offer.
Honda hopes the Type R will set a new Nürburgring front-wheel drive lap record. Will the power of dreams be enough to bring the Civic Type R to the States? Only time will tell.
Source (via www.autoblog.com)
http://wot.motortrend.com/1403_want_the_honda_civic_type_r_in_u_s_sign_this_petition.html
The Honda Civic Type R concept shown at the 2014 Geneva Motor Show appears to be the last straw for the Honda faithful. Tired of getting teased with forbidden fruit, one enthusiast took initiative and started a petition on Change.org demanding the Japanese automaker bring the racier Civic to the 'States.
Honda's slogan, after all, is "The Power of Dreams."
"Honda enthusiasts demand that the discrimination against our market stops right here. There is no excuse anymore.
If other countries can enjoy the best Honda has to offer, we should be able to enjoy the same rights," reads the petition.
As of this writing, there are 5602 signatures, but even if the petition reaches the maximum amount of signatures, what does that mean?
On the site, Honda spokesman Chris Martin commented that it's nice to see so much enthusiasm, and while he "can't promise anything," he said the company would take all the support into account.
It's no wonder Honda fans are so riled up over the Type R. Much of the car's aggressive styling comes from the Civic World Touring Car Championship race car, which, incidentally, won said championship last year.
The concept wore functional aerodynamic aids all around, and its handling is said to be influenced by the race car as well. Underneath the hood is Honda's new 2.0-liter VTEC Turbo engine, which we were able to sample in the Type R prototype last year. We called it a riot, and enjoyed the "275 + hp" it had to offer.
Honda hopes the Type R will set a new Nürburgring front-wheel drive lap record. Will the power of dreams be enough to bring the Civic Type R to the States? Only time will tell.
Source (via www.autoblog.com)
http://wot.motortrend.com/1403_want_the_honda_civic_type_r_in_u_s_sign_this_petition.html
Friday, August 9, 2013
Honda to invest $215M in Ohio engine plant and build 2 training centres
DETROIT -- Honda says it will spend $215 million to expand an engine plant and build two training centres in Ohio.
The investment will add about 60 jobs in the state, although 50 of them will come from other Honda operations in North America.
About $180 million will go to Honda's Anna, Ohio, engine plant to expand work on aluminum die casting and engine parts production. Money also will go a training centre for the plant.
Honda also plans a $35 million training centre for auto assembly workers and engineers at its Marysville, Ohio, assembly plant. Honda says the building also will have office space and a heritage centre to document Honda's North American history.
Honda says it's invested nearly $2.7 billion in its North American operations during the last three years.
The investment will add about 60 jobs in the state, although 50 of them will come from other Honda operations in North America.
About $180 million will go to Honda's Anna, Ohio, engine plant to expand work on aluminum die casting and engine parts production. Money also will go a training centre for the plant.
Honda also plans a $35 million training centre for auto assembly workers and engineers at its Marysville, Ohio, assembly plant. Honda says the building also will have office space and a heritage centre to document Honda's North American history.
Honda says it's invested nearly $2.7 billion in its North American operations during the last three years.
Source;
Monday, February 25, 2013
Honda Shifts US Executives To Play Bigger Part In Global Vehicle Development
by Ben Timmons of www.automobilemag.com
That the U.S. market is an important one for Honda is no surprise; neither is the fact that American Honda developers and engineers are playing a bigger role in engineering the cars the company sells. But Honda is playing a game of musical chairs at Honda North American Regional Operations to further boost American Honda’s share of the work.
Honda announced this morning that Tetsuo Iwamura’s job is growing. Currently the President of Honda North America, the COO of North American Regional Operations, and the President/CEO of American Honda Motor Company, he now adds COO of Automotive Operations and risk management officer for Honda Motor Co. to his list of responsibilities. That’s a lot of buzzwords and titles, but it all boils down to this: the man running American Honda operations will now head Honda’s international automotive operations.
Beneath Iwamura, Hidenobu Iwata will head a new company called Honda North America Services, LLC. HNAS will be headquartered in Marysville, Ohio (near Honda’s manufacturing plant) and will “provide common support functions and streamline coordination of R&D.” Again, a lot of buzzwords, but it seems to signal Honda’s commitment to putting American research and development at a higher level. Elsewhere around Honda’s North American operations, the executive vice president of Honda Canada Inc, Jerry Chenkin, will be promoted to CEO of Honda Canada.
The moves aren’t very big on paper, but if you give them a little bit of context it appears that Honda is shifting many of its research and development efforts away from Japan and to the United States. We already know that the next Civic will be designed and engineered here (in hopes of avoiding the 2012 model’s lackluster reviews), and Honda’s automotive crown jewel, the Acura NSX project, is taking shape in Ohio as you read this.
Source;
http://rumors.automobilemag.com/honda-shifts-us-executives-to-play-bigger-part-in-global-vehicle-development-206589.html#axzz2LvBOJvKb
That the U.S. market is an important one for Honda is no surprise; neither is the fact that American Honda developers and engineers are playing a bigger role in engineering the cars the company sells. But Honda is playing a game of musical chairs at Honda North American Regional Operations to further boost American Honda’s share of the work.
Honda announced this morning that Tetsuo Iwamura’s job is growing. Currently the President of Honda North America, the COO of North American Regional Operations, and the President/CEO of American Honda Motor Company, he now adds COO of Automotive Operations and risk management officer for Honda Motor Co. to his list of responsibilities. That’s a lot of buzzwords and titles, but it all boils down to this: the man running American Honda operations will now head Honda’s international automotive operations.
Beneath Iwamura, Hidenobu Iwata will head a new company called Honda North America Services, LLC. HNAS will be headquartered in Marysville, Ohio (near Honda’s manufacturing plant) and will “provide common support functions and streamline coordination of R&D.” Again, a lot of buzzwords, but it seems to signal Honda’s commitment to putting American research and development at a higher level. Elsewhere around Honda’s North American operations, the executive vice president of Honda Canada Inc, Jerry Chenkin, will be promoted to CEO of Honda Canada.
The moves aren’t very big on paper, but if you give them a little bit of context it appears that Honda is shifting many of its research and development efforts away from Japan and to the United States. We already know that the next Civic will be designed and engineered here (in hopes of avoiding the 2012 model’s lackluster reviews), and Honda’s automotive crown jewel, the Acura NSX project, is taking shape in Ohio as you read this.
Source;
http://rumors.automobilemag.com/honda-shifts-us-executives-to-play-bigger-part-in-global-vehicle-development-206589.html#axzz2LvBOJvKb
Tuesday, February 12, 2013
Honda Counters Weak Yen Criticism After U.S. Objections
Hmmm, where were The American Automotive Policy Council when the yen was at a disadvantage for Japanese Auto Makers????
Honda Motor Co., targeting record
U.S. sales this year, said the weaker yen isn’t giving the
Japanese company an advantage after a group representing U.S.
automakers called for government intervention.
“I defy anybody, when we’re building 90 percent of what we sell here, to say we have a currency advantage,” John Mendel, the Tokyo-based company’s executive vice president of U.S. sales, said yesterday at a J.D. Power & Associates conference in Orlando, Florida. “I don’t think the current level of 90-plus yen to the dollar is a cause for alarm.”
Honda, Japan’s third-largest automaker, relies on the U.S. for more than 30 percent of its global sales. The American Automotive Policy Council, which represents Ford Motor Co., General Motors Co. and Chrysler Group LLC, said in January that President Barack Obama should tell Japan’s new government that the U.S. will retaliate for policies aimed at weakening the yen.
The yen, which has weakened more than any currency since mid-November, trades at about 93 to the dollar and 124 to the euro. Honda’s operating income gains by 16 billion yen annually for every 1-yen drop in the dollar rate, and 1 billion yen for each 1-yen drop in the euro rate, according to the company.
Honda on Jan. 31 cut its net income expectation for the year ending in March by 1.3 percent to 370 billion yen ($4 billion), countering other Japanese exporters that have raised their forecasts after the yen tumbled. The company cited a slower-than-expected recovery in sales in China and weakness in European demand.
Honda’s American depositary receipts fell 1.1 percent to $37.89 at the close yesterday in New York. They’ve gained 3.4 percent for the 12 months ended Feb. 8 as the Standard & Poor’s 500 Index rose 12 percent.
U.S. automakers have said the undervalued yen distorts trade and stunts job growth for American manufacturers. Japan’s Liberal Democratic Party, which reclaimed power in December, has let the yen continue its slide against the dollar, making U.S. auto exports relatively expensive, the American Automotive Policy Council said in a Jan. 17 statement.
“We urge the Obama administration to make it clear to Japan that such policies are unacceptable and will be met by reciprocal measures,” Matt Blunt, a former Republican governor of Missouri and president of the Washington-based industry group, said in last month’s statement.
“With the correction in the yen trend, they are likely to switch from a defensive to an offensive mode,” Jonas wrote of the Japanese automakers. “Short-term positives include access to a wider selection of pricing strategies with regards to incentives and cutting prices.”
U.S. sales for Honda climbed 24 percent to 1.42 million cars and light trucks last year, rebounding from natural disasters in Asia that disrupted production in 2011. Honda’s best year in the U.S. was 1.55 million Honda and Acura vehicles sold in 2007, and the company wants to exceed that mark in 2013, Tetsuo Iwamura, the automaker’s executive vice president, said last month at the Detroit auto show.
Output at the company’s North American plants surged last year to a record 1.69 million vehicles. Honda plans to be a net exporter as its plants in the U.S., Canada and Mexico take more responsibility for developing global models for sale in multiple countries, the company said in December.
“While the purpose of local production is really to build products close to the customer, this strategy also has minimized the effects of exchange rates in our business,” Mendel said.
Honda is adding a factory in Mexico to produce Fit hatchbacks starting in 2014. With the addition of that plant, Honda has said it will have capacity to build at least 1.9 million vehicles in North America annually.
“Renewed rhetoric about exchange rates giving an advantage to Japanese automakers just really doesn’t pass the sniff test,” Mendel said.
Source;
http://www.bloomberg.com/news/print/2013-02-08/honda-counters-weak-yen-criticism-after-u-s-criticism.html
By Craig Trudell -
Feb 8, 2013
“I defy anybody, when we’re building 90 percent of what we sell here, to say we have a currency advantage,” John Mendel, the Tokyo-based company’s executive vice president of U.S. sales, said yesterday at a J.D. Power & Associates conference in Orlando, Florida. “I don’t think the current level of 90-plus yen to the dollar is a cause for alarm.”
Honda, Japan’s third-largest automaker, relies on the U.S. for more than 30 percent of its global sales. The American Automotive Policy Council, which represents Ford Motor Co., General Motors Co. and Chrysler Group LLC, said in January that President Barack Obama should tell Japan’s new government that the U.S. will retaliate for policies aimed at weakening the yen.
The yen, which has weakened more than any currency since mid-November, trades at about 93 to the dollar and 124 to the euro. Honda’s operating income gains by 16 billion yen annually for every 1-yen drop in the dollar rate, and 1 billion yen for each 1-yen drop in the euro rate, according to the company.
Honda on Jan. 31 cut its net income expectation for the year ending in March by 1.3 percent to 370 billion yen ($4 billion), countering other Japanese exporters that have raised their forecasts after the yen tumbled. The company cited a slower-than-expected recovery in sales in China and weakness in European demand.
‘Deathbed’ Rates
“Nobody worried about Japan” when the yen “went from 115 to 78, and said ‘Geez, I hope those guys are OK,’” Mendel told reporters yesterday. “Now all the sudden it’s moderately off deathbed kind of rates, and everybody’s going ‘Unfair.’ Let’s focus on the quality of products. Let’s focus on the customer.”Honda’s American depositary receipts fell 1.1 percent to $37.89 at the close yesterday in New York. They’ve gained 3.4 percent for the 12 months ended Feb. 8 as the Standard & Poor’s 500 Index rose 12 percent.
U.S. automakers have said the undervalued yen distorts trade and stunts job growth for American manufacturers. Japan’s Liberal Democratic Party, which reclaimed power in December, has let the yen continue its slide against the dollar, making U.S. auto exports relatively expensive, the American Automotive Policy Council said in a Jan. 17 statement.
“We urge the Obama administration to make it clear to Japan that such policies are unacceptable and will be met by reciprocal measures,” Matt Blunt, a former Republican governor of Missouri and president of the Washington-based industry group, said in last month’s statement.
‘Japanese Giant’
A weaker yen is “awakening the Japanese giant,” Adam Jonas, a New York-based analyst at Morgan Stanley, wrote in a Jan. 28 report. He said he expects market share for Honda, Toyota Motor Corp. and Nissan Motor Co. to rebound on an improved ability to market their vehicles and equip them with better content and interior features.“With the correction in the yen trend, they are likely to switch from a defensive to an offensive mode,” Jonas wrote of the Japanese automakers. “Short-term positives include access to a wider selection of pricing strategies with regards to incentives and cutting prices.”
Honda Incentives
Honda’s Mendel said he expects the company will reduce its incentives in the U.S. this year because of recently introduced models such as the revamped Civic small car and Accord sedan. Honda increased spending on marketing promotions last year by 3.9 percent to $2,206 a vehicle, as the industry average fell 1.7 percent to $2,482, according to researcher Autodata Corp.U.S. sales for Honda climbed 24 percent to 1.42 million cars and light trucks last year, rebounding from natural disasters in Asia that disrupted production in 2011. Honda’s best year in the U.S. was 1.55 million Honda and Acura vehicles sold in 2007, and the company wants to exceed that mark in 2013, Tetsuo Iwamura, the automaker’s executive vice president, said last month at the Detroit auto show.
Output at the company’s North American plants surged last year to a record 1.69 million vehicles. Honda plans to be a net exporter as its plants in the U.S., Canada and Mexico take more responsibility for developing global models for sale in multiple countries, the company said in December.
“While the purpose of local production is really to build products close to the customer, this strategy also has minimized the effects of exchange rates in our business,” Mendel said.
Honda is adding a factory in Mexico to produce Fit hatchbacks starting in 2014. With the addition of that plant, Honda has said it will have capacity to build at least 1.9 million vehicles in North America annually.
“Renewed rhetoric about exchange rates giving an advantage to Japanese automakers just really doesn’t pass the sniff test,” Mendel said.
Source;
http://www.bloomberg.com/news/print/2013-02-08/honda-counters-weak-yen-criticism-after-u-s-criticism.html
Wednesday, November 30, 2011
Honda plants to resume full production
Honda Motor's plants in Japan and North America are set to resume full production following disruption to parts caused by floods in Thailand.Honda said full production in Japan at the Suzuka and Saitama factories will resume from 5 December while output at its six plants in the US and Canada will return to normal levels from tomorrow (1 December).
Production for January onwards will be decided while monitoring the situation.Honda said all water at the production facilities in Thailand had been removed and clean-up operations began today.
It said the outlook for resumption of production will continue to be carefully examined upon confirming the state of damage to the plant.
Honda said details of the estimated amount of loss and damage from the flood being assessed.
But it adds: "Should any material impact on the company's financial results for the fiscal year ending on March 31, 2012 be anticipated, the company will make a further announcement in a prompt manner."
Source;
http://www.stockmarketwire.com/article/4267293/Honda-plants-to-resume-full-production.html
Friday, August 26, 2011
Honda Installs Wind Tunnel Amid $355 Million Ohio Plant Upgrades
Honda Motor Co. is making $355 million of upgrades at plants in Ohio where it opened its first U.S. wind tunnel, seeking productivity and fuel-economy gains for models designed and built in North America.
The Ohio projects for Japan’s first company to make cars in the U.S. include $166 million of improvements to its factory in East Liberty and a $64 million stamping press at its Marysville plant, said Ron Lietzke, spokesman for the company’s assembly unit. Honda wouldn’t provide the cost of the wind tunnel or other additions to its engineering center in Raymond.
“The driver of the projects is to improve all our characteristics,” Lietzke said in an interview, declining to say whether the changes will lead to greater output. “If we end up increasing production capacity as a result, that’s fine,” he said, without elaborating.
Honda is refurbishing factories as it prepares to restore full North American production next month after parts shortages triggered by Japan’s March earthquake left Honda and Acura dealers short of models. The Tokyo-based company’s U.S. sales fell 2.6 percent this year through July, and market share shrank to 9.3 percent from 10.6 percent as industrywide deliveries rose 11 percent.
Output at Honda’s auto-assembly plants in the U.S., Canada and Mexico dropped 26 percent to 559,981 through July from 754,807 a year ago, according to company data.
Efficiency
Having opened Marysville in 1982, before Toyota Motor Corp. (7203), Nissan Motor Co. and other Asian companies began making cars in the U.S., Honda’s North America engineering and production units are among the region’s most sophisticated, said Jeffrey Liker, professor of engineering at the University of Michigan in Ann Arbor.
“By the most common productivity metrics, they’re among the most efficient,” said Liker, who studies automotive- assembly operations. “They have a history of developing exceptional people and actually keeping them. That allows them to accumulate knowledge and continue to learn.”
The Raymond R&D center, near the Marysville and East Liberty plants, is Honda’s main vehicle-development facility for the Americas. It’s responsible for designing and engineering the Pilot and Acura MDX sport-utility vehicles, Ridgeline pickup, Acura ZDX wagon and TL sedan, and North American version Odyssey minivan, all of which are built only in the region.
Fuel-Economy Push
Boosting fuel-economy on those models to meet tightening regulations is also its responsibility, Frank Paluch, senior vice present of Honda R&D Americas, said in an interview this month.
Last month, carmakers agreed to double the Corporate Average Fuel Economy, or CAFE, to 54.5 mpg by 2025. The first phase for the industry is to reach a U.S. average of 35.5 mpg by 2016.
“We are very aware of those targets and where our responsibility is for CAFE within the lineup. There are set plans how to meet them,” Paluch said. “By the 2016 model introductions, we’ll target about an 18 percent improvement, specifically for our areas.”
Improvements will come through enhanced engine and transmission performance, lighter-weight materials, and smaller and more-efficient components, said Paluch.
Such “evolutionary” changes were used when Ohio engineers revamped the Odyssey last year, raising fuel economy 17 percent, he said. Hitting the 2025 goal is a “bit more gray,” he said.
“If consumers are buying a lot more hybrids, we can easily meet those requirements,” Paluch said. “If consumers don’t buy a lot more hybrids or don’t buy more battery-electric vehicles, we’re going to have to think about other ways to meet those goals.”
Wind Tunnel
Honda hasn’t previously acknowledged the Ohio wind tunnel that was built in late 2010. It will help engineers improve vehicle aerodynamics for further efficiency gains, said John Dirrig, a manager and chief engineer at the Raymond center.
“The ability to do that type of analysis as early as possible in the development phase of new vehicles is a big deal,” he said.
Toyota, Nissan and Hyundai Motor Co. (005380) don’t have wind tunnels in the U.S. Toyota’s Technical Center in Ann Arbor, Michigan, uses one nearby operated by affiliate Denso Corp., said Bruce Brownlee, a Toyota spokesman.
Honda’s is a “half-scale” tunnel, intended for early prototypes.
‘Not Just a Big Fan’
Such a device may cost $25 million, while a full-size wind tunnel is at least $100 million, said Frank Ohlemacher, project manager at the Ohio State University’s Center for Automotive Research in Columbus. “This is sophisticated equipment, not just a big fan,” Ohlemacher said.
Honda won’t say how much it’s invested in Raymond, where more than 1,000 engineers work at desks in a central hall the length of 2.5 football fields, or 750 feet. It also has a crash- test center and laboratories to test electromagnetic interference and the effect of heat, rain and cold on vehicles.
Along with the Ohio upgrades, Honda said in March it’s spending $94 million to modify its Lincoln, Alabama, plant that builds Odysseys and Pilots. This month Honda said it will build an $800 million plant in central Mexico that will make 200,000 small cars a year after it opens in 2014.
Honda’s American depositary receipts, representing one ordinary share, rose 69 cents, or 2.3 percent, $31.30 yesterday in New York Stock Exchange composite trading. Its U.S. unit is based in Torrance, California.
Source;
http://www.bloomberg.com/news/2011-08-25/honda-adds-wind-tunnel-in-ohio-amid-355-million-in-auto-plant-upgrades.html
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