Honda To Open New Plant To Meet Growing Demand
January 15, 2007
For those invested in XM Satellite Radio, this will be welcomed news. Honda, who provides XM exclusively, is opening a new plant in India to help meet growing demand for their popular and reliable cars.
TOKYO (AP) -- Honda Motor Co. will invest $150 million to $200 million to build a second plant in India to meet growing demands for cars there, an official said Monday.
The Tokyo-based manufacturer of cars and motorcycles will locate the plant in the northwestern state of Rajasthan, according to Honda spokeswoman Yasuko Matsuura.
Honda has yet to decide on the exact site of the new plant, but it will be selected in coming months, and construction is to begin later this year, Matsuura said.
That plant will begin operating in the first half of 2009 with an initial capacity of 50,000 cars a year, and Honda plans to increase it gradually, according to the spokeswoman. The company plans to find a site large enough to produce 200,000 cars annually, she said.
Honda has a plant in Uttar Pradesh with the production capacity of 50,000 cars. The company has announced to increase the production capacity 100,000 cars by the end of 2007.
The link to the AP story is
HERE Labels: honda, xm
1/15/2007 02:08:00 PM
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2 Comments:
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your story should read "India", not Indiana. honda's going to take advantage of the lower wage costs in India. it wouldn't make financial sense to open another plant in the States
By , at January 15, 2007 4:26 PM
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Jay,
Thank you for pointing out our typographical error. The story has been corrected.
By SSG, at January 15, 2007 4:53 PM
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