Honda And Fiat Chrysler Plan To Restart Automotive Production In May

Automakers are planning to restart production soon.

Honda Motor Co. (NYSE:HMC) and Fiat Chrysler Automobiles NV (NYSE:FCAU) have each said that they plan to restart U.S. and Canadian auto production in May amid the ongoing coronavirus pandemic. Fiat Chrysler said in a news release that it will redesign “workstations to maintain proper social distancing and expanding the already extensive cleaning protocols at all locations.”

Honda halted production on March 23 and said it will extend the halt through May 1. Fiat Chrysler said it “intends to progressively restart its U.S. and Canadian manufacturing facilities beginning May 4.”

U.S. President Donald Trump last week extended the guidelines aimed at slowing the spread of the coronavirus in America to April 30.

Several U.S. auto industry executives have said it will be nearly impossible for companies to resume production before the end of the month — and there is no assurance automakers will be able to resume production in early May.

It will also take auto suppliers time to resume production. In an internal estimate, Ford Motor Co (NYSE:F) said it believed 600,000 U.S. industry auto sales may have been lost in March because of the coronavirus outbreak. Some U.S. states have barred car dealers from selling new cars while “stay at home” orders are in place.

Last week, Nissan Motor Co said it would extend its U.S. production halt into late April. Toyota Motor Corp (NYSE:TM) has halted U.S. and Canadian production through April 17. General Motors Co (NYSE:GM) has shuttered its plants indefinitely and has not provided a date for vehicle production to restart.

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