Honda Motor plans to boost sales of luxury vehicles in China by adding three Acura models to the four it already sells there and by setting up 50 more local dealerships for both the Acura and Honda brands this year.

The automaker intends to debut its Acura RDX small sport utility vehicle and ILX sedan as early as this year, the Nikkei reported. It also plans to launch its NSX sports car. The lineup of seven Acura models would be almost identical to what it offers in North America, its main market.

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With sales of Acura vehicles in China dropping 21% to about 4,100 units in 2011, Honda will incorporate local preferences when redesigning the vehicles. Most Acura cars sold in China are shipped from North America since none are manufactured locally. The firm reckons it can turn a profit even at the yuan’s current exchange rate against the dollar.

The Elysion, a large minivan under the Honda brand, is slated to hit Chinese showrooms in the second half of this year. The firm plans to cater to local demand by using plush materials for the seats, for example. The vehicles will be produced by its local joint venture.

Dealerships under Dongfeng Honda Automobile, which sells the popular CR-V SUV and other models, are to be increased by 40 outlets to 360 by the end of this year. Acura dealerships in China will be expanded by five to 45. Honda intends to set up the locations primarily in inland areas, where its presence has been limited, and expects to have a total of 888 dealerships for both the Acura and Honda brands by the end of this year.

Honda was an early entrant in the Chinese market but its delay in rolling out new models and establishing dealership networks caused it to lose out to Nissan Motor and Toyota. Honda’s share of the local passenger car market slipped 0.9% to 4.6% in 2011.

Having focused on its profitable US business in the past, Honda is expanding in China now that it has surpassed Japan to become its second-largest market. It aims to boost Chinese sales by 21% to 750,000 units in 2012, the Nikkei said.