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Honda Confirms Plant Closures in U.K., Turkey
Honda Motor Co. confirms multiple media reports that it will shut down its assembly plant in Swindon, England, by 2021.
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Honda Motor Co. confirms multiple media reports that it will shut down its assembly plant in Swindon, England, by 2021. The company also will shutter a smaller factory in Turkey at the same time.
Both facilities make Civic small cars. The Swindon plant eliminated one shift in 2014 because of low demand and has been operating well below its annual capacity of 250,000 units since then with a workforce of about 3,500 people.
Honda’s assembly operation in Turkey has been making about 38,000 Civics per year. The company says it will continue sales and marketing operations in Turkey, and it will retain its European headquarters in the U.K.
The shift in production sites for the Civic will coincide with the debut of the next-generation model. Honda CEO Takahiro Hachigo insists that closing Swindon has “nothing to do” with the U.K.’s departure from the European Union at the end of March.
Japan will be favorably affected by the new EU-Japan Economic Partnership Agreement that began earlier this month. Analysts say the bilateral trade pact eventually may make it cheaper for Honda to supply cars to Europe from China and Japan than from the U.K.
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