Honda today said it is halting production at its North American automotive plants – including Honda Manufacturing of Alabama in Talladega County – in response to an anticipated decline in market demand related to the economic impact of the COVID-19 pandemic.
Honda will suspend production for six days beginning March 23, with current plans to return to production on Tuesday, March 31. Honda transmission and engine plants in North America that serve Honda auto plants also will suspend production for the same time period. Honda will reduce production by approximately 40,000 vehicles during these six days.
“As the market impact of the fast-changing COVID-19 situation evolves, Honda will continue to evaluate conditions and make additional adjustments as necessary,” Honda said in a statement. “In undertaking this production adjustment, Honda is continuing to manage its business carefully through a measured approach to sales that aligns production with market demand.”
Honda said it will continue full pay for all of its workers. Approximately 27,600 Honda employees will be affected by this temporary suspension of production. Honda plans to use the time to continue deep cleaning of its production facilities and common areas to further protect workers upon their return to the plants.
In addition to the Alabama plant, the affected auto plants include facilities in Ohio, Indiana, Georgia, Canada and Mexico.