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Honda to shut down plant in Britain, damaging 3,500 jobs



Kaori Hitomi, Associated Press
Published 4:06 a.m. ET February 19, 2019
Honda said Tuesday closed to close its car factory in western England in 2021, spreading 3,500 jobs to a fresh blow to Britain's economy as it faced its March 29 exit from the European Union.

The Japanese automaker announced the decision at a news conference in Tokyo, where Honda's president and CEO, Takahiro Hachigo, told reporters that the decision was based on what was most important for his global competitiveness in the light of the need to accelerate the production of electric vehicles.

Brexit is not the main reason behind the decision, he insisted.

"We still do not know what kind of changes Brexit will take on this point," he said. "We must wait until we have a better idea about the situation."

Hachigo said that the company immediately started discussions with affected workers at the Swindon factory. "I fully regret it," he said, Hachigo said that the company's global manufacturing manufacturing company, which includes Hutchinson, closed its Swindon plant in Britain in 2021

. "width =" 540 " Honda Motors President and CEO Takahiro Hachigo responded to a press conference at the headquarters of the carmaker in Tokyo, Japan, Japan- February 19, 2019. Hachigo announced the worldwide manipulation of the company's automobile manipulation involving its plant closure at Swindon in Britain in 2021. Honda produces a popular Civic model at the factory, 115 kilometers (70 in the west of London, with output of 150,000 cars per year, its restructuring aims to regulate its operations to reflect stronger demand in Asia and North America, according to Hachigo.

The next mod the Civic sold to Britain was exported from Japan, the company said. it will also repair its operation in Turkey, where it produces 38,000 Civic sedans a year. It said it would continue operating and to have "good conversations" with local stakeholders.

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British business is issuing increasingly urgent warning about damage being made of uncertainty around Brexit. The UK has not yet set an agreement that sets out the terms of the divorce and establishes what trade rules apply after Brexit.

In presenting the restructuring plan, Hachigo said that Honda is trying to adjust the rapidly changing global industry.

"We must move faster," he said.

Relevant writer Haruka Nuga in Tokyo and AP Business Writer Elaine Kurtenbach in Bangkok contributed.

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