Due to the steady increase in the value of the yen, Honda is considering a new plan to shift some production of the Fit hatchback from Japan to the United States. The fuel-efficient Fit is one of Honda’s most popular U.S. models.
In an interview with Automotive News, Honda president Takanobu Ito revealed that the Japanese automaker is seriously considering the production shift for the Fit. “Considering the foreign exchange, such a structural reform might be called for,” Ito said. “That is the sort of direction we are considering.”
All U.S. Fit models are currently built in Japan, greatly eroding any profits to be made on the small car.
As it stands, about 20 percent of Honda ’s U.S. offering are made in Japan, with the remaining 80 percent produced locally. Ito says he would like to see that ratio retained, albeit with the 20 percent mix shifted to high-tech models, such as Honda’s hybrid offerings.
No word on where in the U.S. the Fit would be produced.
