Foreign-owned car companies domiciled in the United States have hit a wall, but with ample credit and deep pockets, they are not facing bankruptcy; rather they are riding out the storm in stride and perhaps helping their respective country’s exchange traded funds (ETFs).
The Toyota Tundra plant in San Antonio, TX, is an example, as sales and production are off, so workers are alternating between the assembly line, the classroom, and community service, while cutting checks from Toyota all the while.
Clifford Krausse for The New York Times reports the sales slowdown, and some of the accompanying business problems, that have engulfed the Detroit automobile makers are rapidly spreading to the world’s strongest auto companies. Toyota, Honda, Nissan and Hyundai are all putting off expansion and are taking the lowered demand in autos and trucks in stride.
Honda is putting off plans for a diesel-powered vehicle launch in the U.S. mostly because of the higher cost of diesel fuel. Honda had said it would introduce a four-cylinder diesel sedan to complement its Acura luxury brand and move from there to diesel SUVs and vans with V-6 engines.