Yamaha to Cut Motorcycle Production in 2009

More bad news from the motorcycle industry

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With mounting inventories coupled with a drop in demand, Yamaha will be cutting its motorcycle production in Japan by 24 percent this year or to about 260,000 total units; one newspaper reported this would be a 40-year low for the manufacture.

Yamaha plans to cut production for motorcycles and other products by 30 percent in the Americas, 20 percent in Europe but will maintain production levels in Asia where demand has not dropped off. The company is forecasting its group sales to fall 22 percent with an operating loss of about $300 million.

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