Honda Philippines (HPI), the country’s biggest motorcycle company, has shut down its offices and operations in Luzon beginning today, March 17, 2020, in compliance with President Rodrigo Duterte’s declaration which places the entire region under enhanced community quarantine.
In its announcement to its suppliers and other business associates, HPI explained that the temporary suspension of work is until March 20, and “will be subject to daily monitoring of the situation, aligned with the government.”
For its part, HPI is allowing some of its employees to avail of a work-from-home scheme or special leave arrangement while waiting for the crisis to subside.
Yamaha Motor Philippines (YMPH), meanwhile, has temporarily suspended its operations in Luzon also starting today, though its management is still determining how long the suspension will be enforced.
HPI maintains a motorcycle assembly plant on a 20-hectare area in Tanauan, Batangas, while YMPH has its own facility in the adjacent Malvar municipality. These facilities cover the administration, production, and logistical support staff of both companies. In their Visayas and Mindanao offices, however, it’s business as usual.
The motorcycle industry is one of the worst-hit sectors by the COVID-19 crisis—both in terms of import and export and local manufacturing. Industry sources say that motorcycle companies are bracing for delays in the arrival of completely built-up units (CBU), semi-knocked-down units (SKD), and completely knocked-down units (CKD), which could greatly affect the local supply and demand chain.
We expect other motorcycle companies to follow suit in the coming days. After all, the health of every employee is key, right?