Toyota, Honda Plants in Southern China Shut by Strikes

Toyota Motor (TM) and Honda Motor (HMC) said Wednesday they have halted production at some auto assembly plants in China after strikes by laborers at parts suppliers. The stoppage by workers at Denso, which manufacturers fuel injectors and other parts for Toyota, Honda and other automakers, halted the shipping of parts on Monday.

Toyota said production would remain halted at least through the day-shift Wednesday at one of its assembly plants in southern China, the International Business Times reported. No decision has yet been made on the night shift. The Toyota factory can produce up to 360,000 cars annually and produces models such as the Camry and Yaris.

The world's largest automaker has suspended work at the plant since Tuesday morning because of the strike at Denso, a unit of Japan's Denso Corp. (DNZOY). The Denso plant employs 1,100 workers.

Honda, Japan's second-largest automaker, said production was suspended at one of two auto assembly plants in its joint venture with Guangqi Honda Automobile Co., The Associated Press reported. Honda said it was unclear when the plant, also in southern China, can resume production.

Honda declined to provide few other details except to say the plant was closed because of a lack of parts caused by a strike, but didn't name the parts supplier. The stricken plant makes popular Accord sedans and Fit hatchbacks and has an annual production capacity of 240,000 vehicles.

Demanding higher wages, Denso workers have refused to work since Monday, said Denso spokesman Yu Matsuda from the company's headquarters in Aichi, central Japan, Associated Press said. Wage negotiations have been held, Matsuda said, but he declined to provide details.

"So far, we cannot give any details or schedule, but we do hope workers can return to work as soon as possible," said Shen Meihua, a spokeswoman for Denso in Beijing.

Earlier strikes at several Chinese suppliers to Honda forced the company to suspend car assembly intermittently in the past month because of a lack of parts.