Honda Electric electrical motor Firm validated it prepares to decrease its engine manufacturing capacity in China, as it faces increasing overcapacity as a result of increasing competitors from regional makers and going down demand for interior burning engine (ICE) cars in the country.
The Japanese car manufacturer defined it will definitely shut among both engine production line at its Dongfeng Honda Engine Company joint venture in Guangzhou in south China at the end of March, as it changes its emphasis to creating battery electric cars (BEVs) for the neighborhood market and for export. Engine manufacturing capacity at the plant will absolutely be cut in half to 260,000 gadgets annually, from 520,000 currently.
A rep from the business confirmed that the decrease in capability would definitely match connecting to 30% of the lorry manufacturer’s sales of gasoline-fueled cars in the area. Honda taped a 31% decrease in truck sales in China in 2024, getting to a ten-year nadir of 852,000 tools. In 2014, the firm experienced substantial fixing in the area, leading to the closure or brief suspension of treatments at 3 facilities in Guangzhou and Wuhan.
A brief review recognized “Honda to reduce engine manufacturing capacity in China” was very first generated and launched by Simply Automobile, a subsidiary of GlobalData.
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