2014 Honda Civic Lx on 2040-cars

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Analysts say Honda's growing woes in Europe not just the economy

There is no denying that the European auto market is taking its lumps right now - just ask Peugeot - but Honda might be taking this downturn on the chin a little harder than some of the other Japanese automakers doing business on the continent. Automotive News Europe is reporting that things have gotten so bad for Honda that it will be cutting 800 workers from Swindon, England plant that builds the CR-V, Civic and Jazz (a.k.a. Fit). This will be the first time Honda has made such cuts in more than 20 years.
Despite an increase in output last year over 2011 (165,607 units compared to 97,459), the Swindon plant is still running well below its full capacity (250,000/year), and its 66 percent capacity is less than the expected breakeven point of industry analysts (75 to 80 percent). Unlike in the US, however, Honda's new CR-V and Civic aren't selling well, and the similarly sized Nissan Qashqai is outselling the CR-V at a rate of more than five to one. Slow CR-V sales are blamed on a relatively high price and the crossover's conservative styling. On the complete opposite side of the spectrum, the report notes that Nissan continues to experience growth at its UK operations, leading analysts to suggest that Honda can't blame the sour economy for much of its woes.

Honda signs on as Pikes Peak sponsor, race participant

Honda plans to storm the Pikes Peak International Hill Climb on June 30, entering ten cars in nine classes at the race to the sky, and signing on as a corporate sponsor. Part of the company's return to grassroots racing - if that's what you can call factory-backed efforts - the banners of Honda R&D and Honda North America will fly on these entries: a first-gen Acura NSX, an Acura TL SH-AWD, Honda CR-Z, Honda Fit EV, one CRF450R and two CRF250R motorcycles, a CBR1000RR motorcycle and a TRX450 ATV.
One more entry, details of which are to be announced later, will be driven by IndyCar pilot Simon Pagenaud of Schmidt Hamilton HP Motorsports. LoveFab (pictured above during practice last year) will be there with its new, NSX-based Enviate, but as a privateer entry.
Honda's been to the mountain before, with high-powered gear in 2012 and record-setting EVs in 1994 and 1999, but it's never made noise like this. Have a read of the press release below for more info.

Honda's new City hints in India at US-bound Fit sedan [w/videos]

While car buyers on these shores may think of the Civic or Accord as the prototypical Honda sedan, in the Asia and Oceania regions, it all comes down to the City. Based on the Honda Fit, the City is a compact sedan that's currently sold in 55 countries around the world, and now Honda has revealed the newest version.
Standing essentially as a Fit sedan (much as the Vezel debuted as a Fit crossover), the new fourth-generation Honda City is as wide as the hatchback on which it's based, but stretches longer on a lengthened wheelbase and sits lower. Power comes from a 1.5-liter inline four in either gasoline or diesel form, mated to an unspecified transmission that we'd have to assume is either a manual or a CVT.
Styling looks familiarly Honda, and while it may be hard to tell from the few stock, detail and live reveal images the Japanese automaker has provided us with thus far, it appears slicker form than other compact hatchback-based sedans like the Ford Fiesta or Mazda2. Fortunately IndianAutosBlog has uploaded a couple of videos from the reveal, which we've included below along with the press release.