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Honda Profits Double

In United States of America; American families and small businesses are not the only ones that are hurt by high oil prices. The U.S. automakers are getting killed by Japanese automakers with more efficient and fuel saving models.

Toyota has already snatched 17 percent market share over last year from the U.S. automakers and Honda motor Co. has just reported its fourth-quarter profits in 2005 were more than doubled that of 2004. What does all this mean for the future of America?.Well, we have already seen massive restructuring and downsizing at both Ford and General Motors, as well as the problems with Delphi and their plant closings and layoffs.

We see General Motors is building six new plants in Mexico and closings several of the plants in the United States. Many things are changing including consumer preference for smaller and more fuel-efficient automobiles.This has been a big boost for Toyota and Honda, as well as Nissan. Toyota motor Co. is also expected to have considerable earnings growth in the first and second quarter of 2006.One has to wonder what happens next to the U.

S. automakers? The Chrysler Group has announced new ethanol vehicles and so has Ford and GM. But will this be enough for them to compete in the future or are they too late to jump on the bandwagon of fuel-efficient vehicles after building SUVs for so many years? We should all consider this and 2006.


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