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CHINA AUTOMOTIVE COMPONENTS
 


 

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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