The novel coronavirus (nCoV) outbreak in China has affected a lot of businesses, the automotive industry included.
Just last week, various manufacturers decided to pull out their staff from the People’s Republic. Now, Nikkei Asian Review has reported that Honda’s supplier Ftech will be shifting its brake-pedal production from Wuhan to the Philippines.
Ftech’s Wuhan plant produces brake pedals for Honda SUVs for both the Chinese and Japanese markets. Meanwhile, the production of its plant in the Philippines is allocated for Honda factories in Canada and the US. Ftech says it will enhance production accordingly and manufacture extra pedals in February to offset the supply cut of pedals from Wuhan to Japan.
While Ftech says that this shift is temporary and it intends to resume operations in Wuhan when possible, it is also preparing for a prolonged outbreak and expects production to come from the Philippines for now. It has another factory in Zhongsha in southern China, but that facility does not supply parts to Japan.
Honda, on the other hand, also announced that automobile production in Guangzhou will resume on February 10, 2020, but it has not yet decided when to resume production in its Wuhan plant.