Honda Unwilling to Conduct Mass Layoffs Despite Sluggish New Car Market

"So we are trying to monitor the conditions so that the sustainability of the factory and supply chain will also be safe going forward," Billy continued.

Billy then revealed that until now, the production activities for the Honda Brio and other products are still centered in Karawang, West Java.

However, Billy did not deny that Honda's car production volume has slightly decreased.

This is in line with the slowing trend of the four-wheeled vehicle market in Indonesia.

Photo : Honda

"So the market is now down 10 percent from last year," Billy added.

Honda continues to show its consistency in maintaining operational sustainability without having to cut the number of employees.

Toyota to Suzuki Have Already Pledged

For your information, Toyota, Daihatsu, and Suzuki have promised the Minister of Industry (Menperin) not to carry out mass layoffs.

"This is important to maintain public purchasing power and employment in the automotive sector,” said Agus Gumiwang, the Minister of Industry, on the official Ministry of Industry website some time ago.

The Minister of Industry admitted to being concerned about potential turmoil in the national automotive sector, especially if there were to be a surge in vehicle prices or a reduction in the workforce.

Photo : KatadataOTO

Agus also stated that his request was positively received by the top executives of Toyota, Suzuki, and Daihatsu.

The manufacturers from the Land of the Rising Sun are said to understand the government's concerns and have stated their commitment to keeping their product prices stable.

In addition, Suzuki, Daihatsu, and Toyota also want to retain their workforce amidst various global challenges.