Honda, Toyota Boost North American Auto Production

The carmakers seek to avoid strong yen, reclaim market share

   

Honda, Toyota Boost North American Auto Production

Honda (NYSE:HMC) has increased its production of vehicles in North America at a faster pace than any other carmaker this year.

During 2o12′s first five months, 748,217 vehicles rolled off the assembly lines at Honda plants in the U.S., Canada and Mexico. That was a 67% jump over the number of cars it built in North America last year, Bloomberg noted.

Auto Cars 200x200 Honda, Toyota Boost North American Auto Production
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That beat the manufacturing increase at Toyota (NYSE:TM), which produced 787,777 vehicles at North American factories during the same time, a 64% rise over production in 2011.

Japanese carmakers are boosting production at North American facilities to avoid the negative affects of the strong yen, industry watchers say. The companies are also trying to regain market share lost after shortages resulting from Japan’s natural disasters last year.

Overall vehicle manufacturing in North America rose 22% to 6.57 million vehicles during the first five months of the year compared to the same time in 2011.

Vehicle output rose 5.4% at General Motors (NYSE:GM), 4.4% at Ford (NYSE:F) and 23% at Chrysler.

At the current rate, Honda will manufacture a record 1.7 million vehicles in North America this year, well above its previous record of 1.43 million in 2007.


Article printed from InvestorPlace Media, http://investorplace.com/2012/06/honda-toyota-boost-north-american-auto-production/.

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