Dongfeng Honda Automobile, one of Honda Motor‘s (HMC) joint ventures in China, introduced the (recently redesigned) Civic model line in China on Monday and said it aims to sell 50,000 units there this year.
Sales of the Civic will begin on 22 April, the company said in a press release cited by Reuters. As well as the sales target of 50,000 Civics, the company is planning to sell 40,000 CR-V sport utility vehicles in China this year, Dongfeng Honda deputy president Liu Hong told the news agency at a press conference in Beijing.
Sales of CR-Vs in China totaled 26,244 units in 2005, more than double that of the previous year, Liu reportedly said. Dongfeng began production of the small SUV in April 2004.
Honda Motor owns a 40% stake in the Dongfeng Honda Automobile joint venture, while its unit Honda Motor (China) Investment holds a 10% stake and Dongfeng Motor has the remainder.
Reuters noted that Dongfeng Honda recently quadrupled annual production capacity at its Wuhan plant, in which it invested CNY2.8bn, to 120,000 units from 30,000 units.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataThe plant can produce 70,000 Civics and 50,000 CR-Vs a year, but this breakdown of production can be adjusted according to market demand, Dongfeng Honda’s executive vice president Liu Yuhe told the news agency.
In early January, Reuters added, Masaya Nagai, public relations manager for Honda Motor China Investment, said the automaker’s car production in China last year rose 24.4% to 266,500 units.
Nagai reportedly said it is targeting a 38% increase in sales in China this year to 353,000 units after saying earlier it plans to boost its production capacity by 65% this year to 530,000 vehicles.
Dongfeng Honda Chairman Zhou Wenjie said at the conference the company will continuously launch new products, but didn’t elaborate, Reuters added.