GM to Lay Off 800 Workers as Honda Scales Back Prologue Production

Honda\'s new EV, the Prologue
Honda’s new EV, the Prologue

According to Electrek, General Motors has scaled back operations at its Ramos Arizpe plant in Mexico, where Honda’s Prologue is manufactured. The facility transitioned from a three-shift system to a two-shift system last May.

This move sparked speculation about the status of the production agreement between GM’s Mexican facility and Honda for the Prologue. However, Honda is reducing production.

According to GM, “This change is mainly due to our customer Honda’s strategy of reducing the production volume of the Prologue model.” Additionally, GM stated that it intends to eliminate 800 positions at its plant in Mexico in the future. The company clarified that this has nothing to do with the Prologue and is instead a result of GM’s policy regarding vehicle production adjustments.

While Honda has not officially confirmed these reports, the company issued a brief statement indicating its commitment to carefully managing production and inventory across its entire product range to align with projected market demand.

Meanwhile, the Honda Prologue has emerged as a top-selling electric vehicle in the U.S. market for 2024, outpacing competitors such as the Ford Mustang Mach-E, Chevrolet Equinox, and Hyundai Ioniq 5.

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