A dozen businesses in Wales make parts for Honda, said the Welsh Automotive Forum.
The component suppliers employ thousands of workers and Welsh Government and WAF are taking steps to identify the true impact of the Honda closure and how the employees can be helped.
Honda will close its vehicle assembly plant in Turkey along with the Swindon operation by 2021.
It is part of a global restructuring move to concentrate production in Japan, where plants have been under-utilised, and has nothing to do with Brexit, CEO Takahiro Hachigo said at a press conference.
It is all part of the global change in the automotive industry accelerated by the introduction of electric vehicles to lower emissions amid concerns over diesel exhaust pollution and highlighted by car makers cheating on CO2 tests and changing buying habits spurred by Government actions.
America has also turned inwards and wants more models built there rather than imported, and this threatens the appearance of a trade war with European and Far Eastern countries.
Europe will put tariffs on Harley-Davidson motorcylces, Levi jeans and other US products if President Trump imposes 20-25% duties on imported European cars, says the EU.
The American tariffs would hit Mercedes-Benz, VW group including Audi and Porsche, and BMW in particular, so it’s a major concern to Germany.