Port issues sees Honda temporarily close Swindon plant
By Abigail Townsend
Date: Wednesday 09 Dec 2020
(Sharecast News) - Honda has temporarily shut its Swindon plant after parts scheduled to arrive via long-haul ships failed to arrive.
The Japanese car manufacturer is now reported to be drawing up emergency plans to fly components into the UK, thereby bypassing growing logjams at British sea ports, according to the Financial Times.
Honda said that production at the plant, which makes the Civic model, would not run on 9 December "due to transport-related parts delays".
"The situation is currently being monitored with a view to restart production as soon as possible," it added.
The FT said that Honda - which like most car manufacturers runs "just in time" supply chains - was still investigating, but it is believed parts due to arrive at UK ports were diverted instead to mainland European alternatives.
Port operators have long warned that the UK's terminals face severe delays when the transition period comes to an end, because of increased customs checks. But they were already seeing growing disruption and logjams because of Christmas demand, Brexit stockpiling and the ongoing upheaval to global supply chains caused by the Covid-19 pandemic.
"Just in time" supply chains mean car plants do not store components, instead only holding enough for several hours' worth of production. The system is efficient but relies on the timely delivery of parts.
The Swindon plant, which employs around 3,000 people, is due to permanently close next year.
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