Japan’s Honda sees declining profits on semiconductor crunch

By YURI KAGEYAMA
AP Business Writer

TOKYO (AP) — The semiconductor shortage is hitting another of the world’s automakers, despite demand for product. Honda’s fiscal first quarter profit has fallen 33% from last year. A global computer chip shortage, a pandemic-related lockdown in China and the rising costs of raw materials hurt the Japanese automaker. Tokyo-based Honda says its profit totaled 149.2 billion yen, or $1.1 billion, for April-June. Quarterly sales slipped 7%. Honda kept its profit forecast for the full fiscal year through March 2023 unchanged. Manufacturers have been scrambling to secure alternative suppliers. Honda sold about 815,000 vehicles last quarter, down from 998,000 a year earlier.