Toyota, Honda and Fiat Chrysler Automobiles will not reopen North American factories as planned at the end of the month as COVID-19 disease spreads and dampens demand for new cars, trucks and SUVs.
FCA It was announced on Thursday that plants in the United States and Canada and operations and construction projects at its headquarters, are scheduled to remain closed until April 1
The FCA's Mopar parts distribution centers, which were considered essential to keep first responders and commercial vehicles on the road, will continue to work with paid volunteers. The status of production for FCA's activities in Mexico will be subject to a separate announcement, the company said in a statement emailed Thursday.
Meanwhile, Ford, Toyota and Honda also announced plans to extend the closings. Ford also said it will extend its closure until April 7th.
Honda also said it will keep all of its automotive, engine, and transmission factories in the United States and Canada closed until the first week of April. Operation will resume on April 7, Honda said.
"This expansion is a response to the continued sharp decline in market demand in the automotive industry due to the economic impact of the COVID-19 pandemic, leading to inability of consumers in many markets to buy new vehicles," said Honda in a statement sent by email. “As the impact of the rapidly changing COVID 19 situation on the market continues to evolve, Honda will evaluate the conditions and make additional adjustments if necessary. With this production adjustment, Honda continues to carefully guide its business through a measured sales approach that aligns production with market demand. “
Toyota said its manufacturing facilities will remain closed until April 17th and will resume production on April 20th. Toyota has numerous factories in North America, including Alabama, Indiana, Kentucky, Missouri, Tennessee and Texas, as well as Baja California, Mexico and Guanajuato, Mexico.
Toyota said its service parts and vehicle logistics center depots will continue to operate
Earlier this month, major automakers ceased production in factories in the United States, Mexico, and Canada. Most had planned to restart on March 31. Now that this date is approaching, some automakers are pushing for plans to resume production.
COVID-19, the disease caused by the coronavirus, has caused upheavals as governments in all major industries issue "stay-at-home" orders or instructions for nonessential companies to close to slow the spread of the pandemic . The closure occurred for the first time in China, where the first cases of COVID-19 occurred three months ago. These factories are now back online as plants in Europe and North America are temporarily shut down.