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Honda Shuts Down Plant Till The End of The Month

The persistent economic problems are having a negative impact on the car industry. Honda recently made the terrible decision to halt vehicle production for more than 20 days.

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The prolonged suspension is attributed to a disruption in the supply chain brought on by the economy’s decline, as well as limitations on the import of CKD and raw materials, according to the official notification.

Here are the specifics:

Due to import limitations, the auto sector has been experiencing production reductions and supply delays since July 2022. Customers might also cancel reservations and receive full refunds with a markup from some automakers.

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The auto industry is also facing the effects of the Rupee devaluation because of its reliance on imports. Imports are being delayed and inventory rates are rising as a result of restrictions on Letters of Credit (LC) by the State Bank of Pakistan (SBP).

We can only hope that the present production halt does not result in the announcement of another price increase.

For more updates, stay tuned to Al Sadat Marketing News.

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