TOKYO -- Honda Motor Co. named Takanobu Ito, head of core automaking operations, as its new chief executive Monday, in an effort to provide fresh leadership to battle a global crisis in the auto industry.

Ito, a 55-year-old research and development expert with U.S. experience, replaces Takeo Fukui, 64, as chief executive officer and president. Fukui will remain on the board as adviser, Japan's No. 2 automaker said in a statement

Both Fukui and Ito said the change at the helm is a message of its determination to turn a new leaf and press ahead with technological innovations -- its longtime strength -- to lift its sagging business, and have the momentum to be prepared to take advantage of a recovery, when it comes.

"We are facing hardships that come once in a 100 years," Ito said.

Ito said he would continue in Fukui's footsteps in developing ecological and affordable products such as the Insight gas-electric hybrid, which has been a hit since going on sale recently.

"Honda's strength has been its sensitivity to changing times and ability to respond quickly to customer needs," he told reporters at headquarters. "My job is to come up with products that can pave the way for new times."

The move, part of a reshuffling of its board, follows a similar change at the top at bigger rival Toyota Motor Corp., who recently named Akio Toyoda, a member of the founding family, replacing Katsuaki Watanabe.

The change at Honda, which makes the Insight hybrid and Accord sedan, still needs shareholders' approval at a meeting in June.

Yoshihiro Okumura, general manager at Chiba-gin Asset Management, said that simply changing presidents won't offer any quick fix for the ailing industry.

"Honda is creating a new setup, but there is no change to the fact that the tough times are here to stay," he said.

But with its performance battered, Honda likely saw the timing was right for change, Okumura said.

Honda, has fared relatively better than Toyota, the world's biggest automaker, in riding out the downturn, partly because Honda doesn't make large trucks and tends to be more nimble.

But even Honda is hurting and has been curbing production and reducing workers at its plants.

Honda, whose October-December profit plunged 90 percent, is expecting 80 billion yen ($856 million) in profit for the fiscal year ending March 31. Earlier, it had projected a 185 billion yen profit.

The strong yen, which erodes earnings of exporters, has also cut profits at Japanese automakers.

Rival Toyota has forecast its first net loss since 1950 for the fiscal year through March.

On Monday, Toyota announced more management changes, including the retirement in June of three executive vice presidents -- Mitsuo Kinoshita, overseeing accounting and personnel, Masatami Takimoto, in charge of technology, and Kyoji Sasazu, who had led business development and purchasing. Four senior managing directors were promoted to executive vice president at Toyota.

Also Monday, The Nikkei, Japan's top business daily reported that Toyota is preparing to set a 2009 global vehicle production target of about 6.5 million vehicles, the lowest in six years.