Car manufacturer Honda is hoping to significantly increase its manufacturing output in China this year.

The Japanese firm is believed to be aiming for a 65 per cent rise in production in the world's third largest car market, which would boost its output in China to 530,000 vehicles.

One of the firm's Chinese joint venture companies, Dongfeng Honda, has recently quadrupled manufacturing capacity at its plant to 120,000 cars a year.

The £198 million project is expected to see the introduction of Civic sedans at the factory from spring, in addition to the current output of CR-V SUV vehicles.

Production of a further 120,000 vehicles will begin by the end of the year at a second plant, in Guangzhou, which Honda jointly owns with the Guangzhou Automobile Group.

The plant currently produces around 240,000 vehicles a year, with Accord cars and Odyssey mini vans its main output.

Car sales in China rose by over 20 per cent last year, improving from a figure of 15 per cent in 2004.


Ÿ Adfero Ltd