With less than two weeks to go before the year’s end, we can safely say that one of the biggest disappointments of 2011 was the ninth generation of Honda’s U.S.-market Civic. Launched in April as a 2012 year model, the new Civic was criticized for its drop in quality and was even removed from Consumer Reports’ “Recommended” list.
Honda Motor CEO Takanobu Ito took personal responsibility for the new Civic’s poor performance. And now, the company’s executives confirm earlier reports that Honda is rushing back to the drawing board much earlier than originally anticipated.
Honda U.S. executive vice president of sales John Mendel may claim that “building a good car isn’t good enough for us, we have to build a great car”, but we suspect that the 13 percent drop in sales to 200,690 units in 2011, is probably the reason why the Civic is getting ready for a redesign only a year after launch.
Tetsuo Iwamura, Honda’s top North American executive, told Bloomberg News that the 2013MY Civic will go on sale by late next year and that it will be “upgraded”. That was to be expected, as the Civic is Honda’s second best-selling car in the U.S. after the Accord.
Iwamura admitted that “the gap between the Civic and the competitors has been narrowed”, adding that “we have to make it wider”. Thus, he revealed that the Japanese carmaker will improve the styling, driving dynamics and comfort of the 2013 MY Civic.
The performance of such a critical model only added insult to injury for Honda, as the March earthquake that hit Japan seriously diminished its inventory and resulted in a 5.3 percent drop in the company’s U.S. sales through November.
Despite this year’s performance, Japan’s third biggest carmaker has set quite a high target for next year: it wants its U.S. sales to increase from about 1 million units in 2011 to 1.25 million, and its luxury brand Acura to improve its record even more, from 126,000 to 180,000 deliveries.
“It looks like quite a high jump, but because of the availability problem we had a really low year in 2011”, Iwamura told Bloomberg. “That is the reason why growth looks huge, but for us, it’s a natural growth.”
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