July 19, 2007
Honda announces construction of five new facilities worldwide
Tokyo, Japan – Honda has announced a number of new global initiatives, including new plants, and research and development centres worldwide. The announcements were made in conjunction with the company’s mid-year report.
The initiatives are:
- An announcement by Guangzhou Honda Automobile Co. Ltd., Honda’s automobile production and sales joint venture in China, for the establishment of a wholly-owned R&D subsidiary in China. The new facility will be accompanied by a full-scale, high-speed test course. The company will develop a new automobile product, which will be marketed under an original brand of Guangzhou Honda, scheduled for 2010. It will be the first time a joint venture company of a foreign automaker will develop and market a product under an original brand of the joint venture company in China.
- Yachiyo Industry Co. Ltd., a Honda consolidated subsidiary in Japan, will acquire the land adjacent to its Yokkaichi Factory to build a new production facility for its mini-vehicle business. The new facility will produce the entire vehicle, including the engine and parts.
- Honda Automobile (Thailand) Co. Ltd., Honda’s automobile production and sales subsidiary in Thailand, will construct a second auto plant, foreseeing future growth in demand for automobiles in Thailand and other markets in the Asia/Oceania region. The second plant will be adjacent to the existing plant and is scheduled to begin mass production in the second half of 2008. Combined with the existing plant’s capacity, Honda’s total annual automobile production capacity in Thailand will reach 240,000 units. The new plant will be environmentally responsible, with zero emissions of industrial water, and equipped with solar cell panels.
- A second motorcycle plant in Vietnam, adjacent to the existing motorcycle facility in Vinh Phuc Province, a suburb of Hanoi. The plant is scheduled to begin mass production in the second half of 2008; combined with the existing facility, Honda’s annual motorcycle production capacity in Vietnam will be 1.5 million units. The company reports that the motorcycle market in Vietnam reached more than 2.3 million units, a rise of 31 per cent over 2005, and is expected to continue to grow steadily in the future. Honda has built motorcycles in Vietnam since 1997.
- Honda Motor de Argentina S.A., a Honda subsidiary in Argentina, will build a new automobile plant and begin local production in that country. The company will acquire new property in Buenos Aires for a new plant, including stamping, welding, painting, final assembly and engine assembly. The company is targeting production start-up in the last half of 2009, with an annual production capacity of 30,000 units.