Japanese Honda Motor Co said Tuesday that it will end car production in Argentina next year in the framework of global changes in the distribution of production between regions.
Honda said that its plant in Campana in the province of Buenos Aires, which produces a model of the HR-V will deal exclusively with the production of motorcycles. Honda began producing motorcycles in Argentina in 2006, and the production of cars started in 2011.
Answering questions to Reuters, Honda said that the decision was part of a global reorganization of production cars and was not connected with results of primary elections in Argentina on Sunday.
About 1,000 employees work at the Honda Argentina, and the company is negotiating with the local Union to offer compensation for staff engaged in car production, said in a statement.