2,500 Honda CKD packs damaged by warehouse fire

A devastating fire broke out recently on 3 August 2015 at the warehouse of Nistrans Malaysia, a logistics and warehouse management provider for Honda Malaysia. The said warehouse is a crucial component in Honda’s logistics chain as it stores all of Honda’s CKD parts shipped in for its Pegoh plant in Malacca.

In a statement released today by Honda Malaysia, the company confirmed that an estimated 2,500 CKD packs of various Honda models were affected by the fire, which damaged some 90 percent of the 130,000 square feet warehouse.

The fire took five hours to extinguish although there thankfully no casualties. Investigations are still ongoing at the warehouse to ascertain the cause of the fire.

The large number of CKD kits affected by the fire inevitably led to dire consequences for Honda’s production scheduling, and the company confirmed that production on its No. 1 and No. 2 lines had to be halted for four and six days respectively, although both have since resumed. The company is still in the midst of monitoring and assessing further potential impacts this incident would have on its production schedule.

Managing Director and Chief Executive Officer of Honda Malaysia Mr. Yoichiro Ueno said, “We are very sorry to hear about the fire and the loss experienced by our supplier. We are currently working closely with Nistrans to assist in any way possible. Rest assured that we at Honda are working hard and doing all that we can to minimise the impact of this unforeseen circumstance towards our customers.”