Japan’s third-largest automaker Honda Motor Co. has announced that it plans to ramp up its production in the US from early next year. The announcement has come at a time when many top automakers are scrambling to cater to the ever increasing demand for gas guzzling trucks and SUV in the world’s second-largest auto market.
Honda specifically mentioned that its plant in East Liberty, Ohio, will see increased production of the popular Acura MDX SUV. Another Honda plant in Alabama where the company currently produces the MDX will also see a boost in its capacity.
Honda is not the only company to have benefited from surging demand, though. The trend is more or less visible across the entire auto industry. Nissa, for example, is also putting up all efforts to ramp up its SUV production efficiency to bridge the gap between supply and demand in the North American market.
“It takes time for manufacturing to catch up to these shifts because automakers are committing to changing their portfolio. It’s not something you can do quickly,” said Rebecca Lindland, senior analyst for automotive research company Kelley Blue Book, Reuters reports.
Worth noting, almost three out of five new vehicles sold in the US today are light trucks while the rests are smaller passenger cars. That’s a 4% increase in the sales of light trucks compared to where the figure stood just a year ago.