Honda Motor downgrades business outlook

Japanese automaker Honda has cut its business forecast for the current fiscal year as an ongoing parts shortage takes its toll.

The company's global sales outlook for the year through March is revised to 4.2 million vehicles. That's down 13 percent from earlier expectations.

Executives cite the global semiconductor shortage, and stagnant parts procurement due to coronavirus lockdowns in Southeast Asia.

Many of Honda's production plants and suppliers are based in the region.

The cut is set to affect the bottom line with a full-year net profit forecast of 4.9 billion dollars representing a 17 percent drop in yen terms from the previous outlook.