Honda says it will recall 1.6 million vehicles in the US as it moves toward wrapping up the process of replacing defective Takata air bags in cars sold in America. Honda said the plan involves Honda and Acura vehicles with air bag inflators used in earlier recall repairs. The company said this recall is being done six months ahead of a deadline set by the US National Highway Traffic Safety Administration.
Around 20 people have died in accidents linked to defects in Takata airbags since 2013, prompting a massive worldwide recall of at least 100 million cars from a wide range of manufacturers. Honda said it has recalled approximately 12.9 million Honda and Acura automobiles in the US.
Founded in 1933, Takata went out of business in 2017 because of the airbag crisis.
Meanwhile, in India, the auto giant has seen major dip in its sales. Honda Cars India Ltd. (HCIL) finally announced its sales report for May 2019, in which the automaker reported declining sales for the second consecutive month. Notably, the Honda Cars India sold 11,442 units last month, a drop of 27 per cent in year-on-year sales when compared to 15,864 units that were sold in May last year when all new 2nd gen Amaze was launched.
The Japanese car maker also exported 450 units in May 2019, down by 12.7 per cent from 516 units exported in May last year.
Speaking on the declining numbers, Rajesh Goel, Senior Vice President and Director, Sales and Marketing, Honda Cars India said, "The market continues to be tough for the auto industry with two consecutive months of such a high de-growth. It is unprecedented in the last two decades. After elections, we were expecting an upswing which has not yet come.”
“Factors like liquidity that is affecting capital to auto sector along with an increase in fuel prices have remained a challenge to revive consumer sentiments. We are still hopeful that demand will revive due to pent up demand, favourable indicators on monsoon and expected actions by the new government," he added.
In May last year, Honda had favourable volumes on the back of the launch of the second generation Amaze subcompact sedan. Last year, the Japanese car maker has had some major launches including the new generation CR-V and the all-new Civic sedan. This year, Honda is expected to bring the new HR-V compact SUV as well in India that will take on the Hyundai Creta, MG Hector, Tata Harrier and the likes.