Nissan Motor and Honda Motor both plan to boost production capacity in China to meet brisk demand there.
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Separately, Hyundai, which also has local joint venture assembly operations, said it was hiking its sales target in China.
Nissan on Tuesday said it would boost production at its joint venture Dongfeng Motor by about 20% to around 560,000 units a year from October, according to Reuters.
The news boosted its shares 7.7%.
Nissan would add 1,200 workers and operate three shifts a day, up from two now, at the venture’s main factory in the city of Guangzhou, a Nissan spokesman told the news agency. No additional or upgraded facilities were planned.
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By GlobalDataThe extra workers and shift would boost Guangzhou output to 460,000 units a year, up from 360,000. But there will not be a capacity boost at a separate 100,000-unit plant in Hubei province, the spokesman said.
Meanwhile, Honda said its Dongfeng Honda Automobile JV would boost annual capacity at its Hubei plant to 200,000 units by the end of this month from 165,000 units. That would bring Honda’s total production capacity in China to 610,000 units.
The venture would add new equipment to enhance automation at the Hubei plant as well as more workers. The Hubei plant is capable of building 240,000 units, and Honda would consider expanding production to that level if demand warrants it, a spokesman said.
