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Honda cuts car production on massive chip shortage

Japan output slashed by 4,000 units this month while February looks 'grim'

Honda fit cars roll off a production line at the automaker's factory in Yorii, near Tokyo in 2013. (Photo by Ken Kobayashi)

TOKYO -- Honda Motor will reduce vehicle production due to a supply crunch in semiconductors, Nikkei has learned, a sign that a pandemic-spurred global shortage is threatening the auto industry.

The Japanese automaker will first shrink production by about 4,000 units this month. The change will mainly affect the Fit subcompact manufactured at a plant in Suzuka, a city in Japan's Mie Prefecture.

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