Honda is currently researching alternative procurement plans to ensure stable factory operations. Due to a delay in chip shipments from Nexperia, GAC Honda’s production line, originally scheduled to resume work on January 5th, has seen its restart plan postponed once more. The target date for a full return to normal production has been pushed back to after January 19th, which is about two weeks later than initially anticipated. This series of production stoppages began in late 2025. GAC Honda had planned a routine five-day shutdown from December 29th to January 2nd. However, the ongoing impact from the shipment suspension by its key semiconductor supplier, Nexperia, exacerbated chip shortages, leading to the initial postponement of the restart date to January 5th. The latest announcement on January 5th means the production halt will be extended further. Manufacturing, including for gasoline-powered models, will remain suspended until at least January 16th. Nexperia This supply chain shortage is not only affecting its Chinese facilities. It is reported that its factories in Japan have also announced a two-day shutdown on the 5th and 6th. Looking further back, as early as late October to November last year, Honda’s North American plants had already implemented production cuts due to the chip shortage. Honda is currently researching alternative procurement plans to ensure stable factory operations. Honda estimates that the semiconductor shortage in North America will negatively impact its operating profit for the fiscal year ending March 2026 by approximately 150 billion yen. Official data shows that from January to November 2025, GAC Honda’s cumulative production reached 317,618 units, marking a year-on-year decrease of 14.83%. Cumulative sales for the same period stood at 300,942 units, reflecting a significant year-on-year decline of 22.97%.
