Guangzhou, June 24, 2005 --- Honda Automobile (China) Co., Ltd. (CHAC), an export automobile production joint venture of Honda Motor Co., Ltd., Honda Motor (China) Investment Co., Ltd., Guangzhou Auto Group Co., Ltd. and Dongfeng Motor Group Co., Ltd. today began exports to Europe of the compact passenger car Jazz.
Ceremonies to commemorate the start of export operations were held today at Xinsha Port in Guangzhou. A number of dignitaries and guests attended the ceremonies including Mr. Lin Shusen, the Secretary of the CPC Guangzhou City Committee; Mr. Lin Yuanhe, the Executive Vice Mayor of Guangzhou City; Mr. Ling Weixian, the director of GETDD (Guangzhou Economic and Technological Development District) administrative committee; Mr. Xue Xiao Feng, the secretary-general of the CPC Guangzhou City Committee; as well as Mr. Atsuyoshi Hyogo, Senior Managing Director and COO of China Regional Operations for Honda Motor Co., Ltd.; Mr. Zhang Fangyou, Chairman of Guangzhou Auto Group Co., Ltd. Attendees observed the first shipment of 150 units of the Jazz manufactured by CHAC loaded onto a car carrier ship.
CHAC began mass production of the Jazz in April 2005, as the first auto production plant in China dedicated exclusively to exports. CHAC expects to manufacture approximately 10,000 units of the Jazz in 2005. Every vehicle produced by CHAC will be exported to European markets, including Germany, and marketed through local Honda subsidiaries. CHAC is leveraging the production know-how and parts procurement network established by Honda's existing automobile production joint ventures -- Guangzhou Honda Automobile Co., Ltd. and Dongfeng Honda Engine Co., Ltd. -- and increases competitiveness in the areas of quality and cost by leveraging economies of scale achieved through the relationship with them. CHAC is the first passenger car maker in China to begin full-scale exports to European markets.
About Honda Automobile (China) Co., Ltd. (CHAC)
|Capital Investment:||US$ 82 million
|Capitalization Ratio:||55% Honda Motor Co., Ltd.
10% Honda Motor (China) Investment Co., Ltd.
25% Guangzhou Auto Group Co., Ltd.
10% Dongfeng Motor Group Co., Ltd.
|Location:||Export Processing Zone in the
Guangzhou Economic & Technological Development District
|Representative:||Atsuyoshi HYOGO, Chairman
Hironori KANAYAMA, President
CHEN Maoshan, Vice President
|Employment:||Approximately 600 associates
|Start of Production:||April 2005
|Production Model:||Jazz (for export to European markets)
|Annual Capacity:||50,000 units (2005 production plan: approximately 10,000 units)