It's been a rough year for Honda. The Japanese manufacturer was practically shut down after the Japan earthquake in March, and now motorcycle production has been slowed again due to floods in Thailand.
Honda Moto Co. said today that it's automobile plant, in HATC, Ayutthaya, and its motorcycle production plant at Thai Honda Manufacturing in Bangkok, were both underwater. Honda said that it's global output has been slowed by 4.7% because of the floods in Thailand.
Reuters reports that no one is currently allowed in the area, which means that Honda has not been able to properly assess the damage yet.
Honda spokesman Tomohiro Okada said: "Cars at the facility (in Ayutthaya, central Thailand) appear to be floating."
Nomura analyst Masataka Kunugimoto released a report detailing the damaging. Kunugimoto says that if it takes three months to restart production, Honda would lose production of 60,000 vehicles and $325 million off of its annual profits.
Kunugimoto said that Honda is already working overtime to meet post-earthquake demands.
"Capacity utilization in Japan is already high to meet post-earthquake recovery demand, so Honda's Japanese plants may not be able to supply sufficient volumes," Kunugimoto said in his report.
Toyota also reportedly closed three plants due to flooding.