Honda in China to roll out
automotive components
BY A CORRESPONDENT
March 8, 2007: The China-based
Honda Auto Parts Manufacturing Co,
Honda’s fully-owned automotive
components production subsidiary, has kickstarted production.
The newly built plant in Nanhai
Industrial Park District, Foshan City
of China will churn out powertrain
components including automobile
transmissions, which will be supplied
to Honda's automobile production joint
venture operations in China.
According to a report, the annual
production automotive components
production capacity of the China
operation would be 240,000 units and
the plant will initially accommodate
machining and assembly of
transmissions and drive shafts as well
as machining of crank shafts .and
connecting rods for engines. The
report added that the automotive
components company is planning to add
the machining of gears as well as
production of control parts, both key
high value transmission components
currently supplied from Japan, at a
later stage.
Honda’s China operations are
through three joint venture companies.
They are Guangzhou Honda Automobile Co
Ltd., Dongfeng Honda Automobile Co Ltd
and Honda Automobile (China) Co Ltd.
The combined annual production
capacity has now reached 530,000 units
While Guangzhou Honda makes 360,000
units; 120,000 units are rolled out of
Dongfeng Honda; and 50,000 units by
Honda Automobile (China).
The report said that the start-up
of production at Honda Auto Parts
Manufacturing Coenables parent Honda
to boast of an adequate supply of
powertrain components to support
expansion of its automobile production
in China. This is also reported to be
further increasing local content of
automotive powertrain components,
which will help cost reduction efforts
and strengthen Honda's competitiveness
in the market.
This subsidiary company is the
first automaker to begin local
production of transmissions in China.
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