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Acura NSX cancelled; Honda slashes forecast

12/17/2008, 5:49 AM

By Nick Aziz

Honda CEO Takeo Fukui on Wednesday said his company has been forced to cancel the next-generation Acura NSX sports car due to poor economic conditions. The news came during a speech about the automaker’s revised financial forecast. Plans to bring the Acura brand to Japan have also been shelved permanently, the Nikkei news service has reported.

“The situation is worsening by the day, and there is no prospect for recovery, is our understanding,” Fukui told reporters.

The NSX was a much-anticipated V10-powered sports car in the late stages of development. Designed as a successor to the original model of the same name, the new NSX was slated to be launched as a 2010 model. The project was subject to multiple delays related to the vehicle’s exterior design, but those problems were recently overcome.

Fukui previously characterized the new NSX as “necessary for Honda.”

The company indicated its operating profits will be 180 billion yen ($2 billion), down 67 percent from the forecasted 550 billion yen. There’s even a chance, according to Reuters, the automaker will report a half-year operating loss — for the latter part of 2008. If that happens, it will be the the first time in at least 11 years. Also hurting the income forecast is the yen’s strength against the U.S. dollar, which further compounds the U.S. sales problem.

The debut of the Acura brand — originally U.S.-only — in Japan was originally planned for late 2008, but was recently delayed until 2010. Given the economic downturn, Honda said it decided to cancel the costly program all together.

Honda also announced it will cut production by 314,000 vehicles worldwide for the current fiscal year, according to Bloomberg. It also will eliminate about 1,200 temporary jobs in Japan.

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12/17, 6:13 AM

posted by:

Kaizen

Doubtful, just like it is doubtful Lexus won’t release the LF-A. Both companies are too far not to release the cars. At the very least, variations of the engines will show up in new vehicles.

12/17, 7:14 AM

posted by:

DrFill

Pretty ugly, like most recent Honda additions
Woulda been nice to see how it stacked up, dynamically
DrFill

12/17, 7:35 AM

posted by:

oldraven

Kaizen, have you heard much news lately about Honda? They’re cutting costs like crazy. If they say the NSX is dead, it’s dead. The same can be said about the LF-A. If you’re halting work on a Prius plant, you’re not going to waste cash on a limited production two-seater when the demographic is dying off at an alarming rate (upper management/investment brokers with cash to burn).

12/17, 7:59 AM

posted by:

atomicbri2008

Wow, sad times indeed. Honda out of F1, Subaru out of WRC, the Big 3 are about to fold like a deck of cards…. Guess we will all have Chinese cars in our future… who woulda thought? I was actually excited about the upcoming NSX, thought it had a good look and some potential. What I really wish though is that Honda would have a Prelude successor, with a high output, high fuel economy four banger that would have awesome looks and drive well…. Dreams I tell you…. dreams.

12/17, 8:28 AM

posted by:

e46Ne90

good move. concept car looked like sh!t anyways. f/r and no where near last nsx’s sexy appeal

12/17, 8:45 AM

posted by:

Mike the loser

NOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO

12/17, 9:08 AM

posted by:

howsmydriving

Thanks a lot for this soon-to-be depression, George Bush.

12/17, 9:10 AM

posted by:

audifan

I bet Nissan are happy, epsically after all the claims that Honda made about it going to be the quickest around the ‘ring’, no competiton for them. this was a good move, the nsx was only reborn in concept becuase of the GT-R, Honda wanted some of the lime light, reminds me of the R8 and then BMW producing that very ugly BMW M1 concept to directly compete with it. Car manufactures need to stop producing supercars to compete with each other on the marketing front (in some respects) and just produce awsome sports cars.

12/17, 9:21 AM

posted by:

mayer_ray_nagin

Everyone cheering on and hoping for the demise ofm the Big 3 should be ecstatic about this bad news, because this is a direct result of a currently bad economy that will be a lot worse globally if the US auto industry collapses.

All this crap is intertwined, people. Toyota admits it, decisions like this from Honda indicate that they recognize it, but you haters don’t, along with the idiots in Congress. A lot of us have said all along – nothing good will come out of the death of the Big 3.

12/17, 9:35 AM

posted by:

Z06ified

Great news for the Corvette.

I thought the Japanese thought long term? This is a very short term, knee jerk reaction from Honda. Next thing you know, the Japanese will be managing their profits quarter to quarter, just like Detroit has.

12/17, 9:54 AM

posted by:

mayer_ray_nagin

Z06, Japanese reporting requirements are half-yearly. Yes your point remains, but just this simple fact allows them to have a relatively longer business term perspective than Detroit.

12/17, 10:02 AM

posted by:

Borat

Great news for Corvette. My hard earned taxes will subsidize each one of those on the road. At least there are very few of those will be purchased. Much more I will be subsidizing on dealer lot collecting dust.

12/17, 10:08 AM

posted by:

bigjimid

Good deal. Now they can spend some money on their passenger vehicles or alternative fuel R&D. Hopefully we’ll see a new ap3 s2k soon too. And maybe by the time the new NSX project is green lighted again, they’ll have new exterior designs that speak Honda this time.

12/17, 10:15 AM

posted by:

tripleonefive

I think it sucks bc people where relly looking forward to this but on the positive end they can still keep the platform and use it on the next RL TL TSX MDX RDX CDX (that crossover) and Hopefully develop a new CL and get them out quicker
It is good news for the Vette and the GT-R bc the NSX would have blown them out of the water
Oh well

12/17, 10:29 AM

posted by:

Lariat Luxury Locomotive Liner No.3

This is very Japanese business management style; they prefer to be proactive when they can and placing a project on the back burner at any time during its development is what they will do when necessary. Honda is a conservative company. The NSX is a niche market automobile where they can showcase some of their prowess, but even Honda knows it is unnecessary in today’s economy. If only the US automakers had followed the same business management style, I doubt they would be where they are today. I can assure you this is not a knee-jerk reaction and comes after much thought and input (reams of thoughts and input).

12/17, 11:05 AM

posted by:

dreamtech

THE BAD ECONOMIC CLIMATE IS NOT THE REASON FOR THE CANCELLATION!!!! The real reason is that the design sucked! The engineering was done a long time ago, but the Honda couldn`t get the styling right. The had to postpone the car for 2 years to due the styling problems. Insiders at Honda, tell me the design simply is not worthy of the engineering. I feel so sad for all the designers that have been tortured but the retarded Honda management that clearly knows little about emotional supercar styling. The next NSX is a Halo car, it represents the lastest and greatest that Honda can acheive. It would have be a huge advertisement for the Acura Brand.

Where is the real Honda spirit?? They gave up. If this car was going to launch in 2010, than the car would have surely been almost ready for production by now, with almost all the production feasibility finished. I think Honda still didn`t have an adequate design and is using the economy as an excuse to cancel the project. If the project was on schedule, it would be too late to cancel it; as all the tooling, etc would be already set in motion for production.

Honda is lame and so are there design managers; and there design by committee style. I wish they could show there design leadership. Who is there Chris Bangle, Bob Lutz, or Shiro Nakamura. I think its there house robot Asimo!

Well done Honda. F1 and NSX….bye bye

12/17, 11:16 AM

posted by:

Lariat Luxury Locomotive Liner No.3

@dreamtech, obviously you have never dealt nor worked directly or within a Japanese corporation at their highest levels.

12/17, 11:20 AM

posted by:

Z06ified

tripleonefive – the NSX blowing the ZR-1 out of the water? That’s an EXTREMELY tall order right there. Not bloody likely even when the NSX project was a go.

The ZR-1 (and Viper ACR) will be the King of the Hill for a very long time.

12/17, 11:25 AM

posted by:

johnnycanuck

I also find it hard to believe that sheet metal killed the NSX. The GT-R is hardly a candidate for Ms. Universe and it seems to be holding its own.

12/17, 11:28 AM

posted by:

christianboy10

I agree with dreamtech 100% honda messing up long before this economic issues

12/17, 11:55 AM

posted by:

hondAccord

OMG i think i just had a mild heart attack reading this information. WTF i mean i know the economy is bad but this could have been such a good rival and it owuld have brought other horse pwr crazed drivers into the show room for Acura and Honda who others wise wouldnt have gave them another look. hopefully they will keep it in the back of their head when economic times get better…

12/17, 12:21 PM

posted by:

mayer_ray_nagin

Ok Johnny, the GTR isn’t pretty, but I will go on record saying that I would sleep with a GTR, and I doubt anyone here would kick a GTR out of the bed, before or after the sex.

12/17, 12:54 PM

posted by:

anti-believer

dreamtech STFU

u don’t have a clue of what you’re talking about. Back-woods talking!

12/17, 1:10 PM

posted by:

scratchy

i think they are canceling it because it is no competition for the GTR.

12/17, 2:09 PM

posted by:

Veda

Sorry I just had to respond as the level of idiocy seems a bit higher than normal. You guys obviously haven’t been in the real world enough to work in a real corporate environment or even have a clue of how shrewd big jap companies work. Believe me, those guys think long term and they really only care about profit. You really think they give a damn about what a small number of poor students like yourself who can’t even buy a $30K car without a loan think about a $100K car. Seriously, how many people here can buy a GTR cash right now without any loan or credit? The reason why the auto industry is suffering so much is because you can’t get a loan. Everybody freakin buys luxury crap with loans, houses, cars, jewelries. This is the best reality check ever as it shows how poor a lot of people are. People are greedy bastards, they want to own the most expensive and coolest thing like uhh an NSX, but of course by using money they don’t own. The NSX regardless of how ugly it could be, will sell if the performance is similar or better to the GTR, if simply due to the legendary status alone. There is demand but no buying power. You can drool but without $ you can’t buy, you can make it and nobody will be able to buy it, let alone make a return profit of the project. Ferrari, Lambo, everything is a business… they’re out there to get the money out of your wallet or bank. And the best way to make your part with your money is through toying with your emotion. Get it?

12/17, 2:11 PM

posted by:

neptronix

Everytime you cancel a japanese supercar,
GOD KILLS A KITTEN.

This is sad, but i don’t think the car was that great in the first place.
Give us a new prelude/del sol/integra for christ sake’s. where’s that cr-z?
honda is boring as crap now.

12/17, 2:13 PM

posted by:

Veda

And oh yea, I’m in the process of selling back my “jap brand” auto dealership, so I know firsthand how messed up and unfair their business practices are. Though at least they’re still selling more units than US brand dealerships…

12/17, 2:15 PM

posted by:

F3INT))AP3X

Good and bad here I suppose: bad obviously because it is cancelled, but good in that I hope they will take this time where there is no manufacturing on the project and perhaps design a new body, because honestly the new styling is garbage (and this is coming from an owner of the outgoing model).

12/17, 2:46 PM

posted by:

cereal

Oh well that sucks.

At least the NSX was getting ugly.
Saved the world from another eyesore. Thanks bad economy.

-__-

-eat your cereal

12/17, 3:04 PM

posted by:

tripleonefive

THE BAD ECONOMIC CLIMATE IS THE REASON FOR THE CANCELLATION!!!!

You see unlike the idiots that run the D3 Honda can make an educated decision based on the market If they made decision like GM for instance they would be begging the govt for money but they are smarter than that

They dont make cars that people may not be financially able to purchase at this time Its a smart move but I am dissapointed.

And yes It would blow the Vette or any D3 Pile and the Syline GTR out of the water

12/17, 4:22 PM

posted by:

shaver

Good, this was looking to be a huge disappointment anyway, for fans of the original. It was going frnt engine, V8 probably SOHC w/ 5 speed auto.
1115 keep on drinking that purple coolaid you will eventually feel better..

12/17, 4:28 PM

posted by:

tyler_is_aero_tt

Thank GOD!!! This thing looks hideous.

12/17, 4:56 PM

posted by:

tripleonefive

I dont drink products like Kool Aid (with a K you idiot)
Like I said Honda makes wise decisions that is why they are not begging for 12 billion dollars like the D3

12/17, 5:03 PM

posted by:

elviososa

The title shold be “ACURA NSX Cancelled due to the FUGLY Design.”

12/17, 6:11 PM

posted by:

andy

@ tripleonefive… hahahaha “the 2011 Acura NSX is still expected to offer supercar performance. One hand timed lap of the Nurburgringcame in at 7:37, just 8 seconds longer than the GT-R’s fastest lap. Credit the NSX’s formidable new power plant, a 5.5-liter V10 with as much as 550 horsepower and 420 pound-feet of torque”

yup, im sure GM was really worried about the NSX that couldnt even beat the GTR, which everyone said would kill the ZR1 and Nissan didnt pull that off.

12/17, 6:23 PM

posted by:

Blakkarr

For all those who say, “HONDA should not cancel the NSX”. I thoroughly agree. This thing should be shelfed until thing improve. How much does it take for a large Automaker to develop a Supercar? About $100M, on the bottom? Probably more like $350M-500M. New engine, new Transmission, new suspensions and body systems.

This like, GM’s just throwing out their program to revamp their SUVs (though that was understandable but should never have been started – they had/have cars to develop), is just throwing money completely away.

I have said it before about HONDA’s Sports cars and now it seems to apply to the company itself: The company’s got no balls.

12/17, 7:04 PM

posted by:

jackjimturkey

What?

Now that just sucks.

“… due to poor economic conditions.” You’ll be hearing a lot of that.

DrFill: I find this cas somewhat attractive. Not as Polarizing as the GT-R.

atomicbri2008: “Guess we will all have Chinese cars in our future.” Nope. Tatas.

e46Ne90: “no where near last nsx’s sexy appeal.” true, but it’s still nice-looking.

audifan: “I bet Nissan are happy.” me, too.

Z06ified: “Great news for the Corvette.” Not really. Corvette’s cross-shopped with Viper/911. Very little NSX overlap.

“Next thing you know, the Japanese will be managing their profits quarter to quarter, just like Detroit has.” Last thing they need to do.

Borat: many dealers don’t have Corvette’s on the lot.

tripleonefive: I hope they just get some dedicated Models.

This cancellation is bad news for some performance-car enthusiasts, because it reduces their options. I’ve already decided on the GT-R, though.

hondAccord: ” … this could have been such a good rival and it owuld have brought other horse pwr crazed drivers into the show room for Honda who otherwise wouldnt have gave them another look.” You’re right. But the main purpose of a car like this would be to sell accords (viper sells minivans). They’ll still be able to do that.

mayer_ray_nagin: “I will go on record saying that I would sleep with a GTR …” What me and my GT-R do behind closed doors will be between my GT-R and Me.

scratchy: “i think they are canceling it because it is no competition for the GTR.”
I’m pretty sure it is.

Veda: “This is the best reality check ever as it shows how poor a lot of people are. People are greedy bastards, they want to own the most expensive and coolest thing like uhh an NSX, but of course by using money they don’t own.”
You nailed it!

andy — 7:37 at the ring ain’t nothin’ to be sneezed at.

Blakkarr: ” How much does it take for a large Automaker to develop a Supercar? About $100M, on the bottom? Probably more like $350M-500M.” And they’ve got to move a lot of units to recoup those losses, and I’m not sure that’s gonna happen right now.

12/17, 8:04 PM

posted by:

zoomzoomer

I guess Honda finally realized the underwhelming styling they finally decided on would be better suited for a V6-powered, $30,000 Prelude than their $80-100K V10 NSX replacement.

12/17, 8:19 PM

posted by:

zoomzoomer

The fact that Honda also cancelled bringing the Acura brand to Japan is probably as much about not messing with a good thing (the TSX no doubt sells tons better as the JDM Accord) as it is shame for the hideous Godzilla grille soon to be grafted on every Acura that would no doubt scare the citizens!

12/17, 9:29 PM

posted by:

A4

HOW ABOUT you go back to building the old NSX then, honda? it was pretty perfect.

12/17, 10:30 PM

posted by:

bimmer_mann_18

New NSX looked bad anyways. I could design better and I have done my take on what it should be.

12/19, 3:23 PM

posted by:

iluvamcars

My wish came true. Now for Cristmas, get rid of Acura completely.

 
 
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