Jul 19, 2012 16:45 JST

Source: Honda Motor Co, Ltd

Honda Begins Construction of Second Automobile Production Line in Malaysia

Pegoh, Malaysia, Jul 19, 2012 - (ACN Newswire) - Honda Malaysia Sdn. Bhd. (HMSB), a Honda automobile production and sales joint venture in Malaysia, today held a groundbreaking ceremony to mark the start of construction of its second automobile production line at the existing auto plant in Malacca, Malaysia. The ceremony was attended by Y.A.B. Datuk Seri Hj. Mohd. Ali Bin Mohd. Rustam, Chief Minister of the State of Malacca and Y.B. Dato' Seri Mustapa Mohamed, Malaysian Minister of International Trade and Industry as guests of honor as well as other dignitaries, guests, and Honda executives and associates, including Hiroshi Kobayashi, chief operating officer for Honda's regional operations in the Asia Oceania Region.

On the second line, which is scheduled to begin operation before the end of 2013, HMSB is planning to produce mostly small-sized vehicles such as Jazz (known as Fit in Japan), and hybrid vehicles. The annual production capacity of the second line is planned to be 50,000 units, doubling HMSB's overall production capacity from the current 50,000 units with the first line to 100,000 units. The total investment on the second line is expected to be 350 million Malaysian ringgit (approximately 8.68 billion yen*), and HMSB is planning to hire approximately 700 associates when the second line becomes operational.

Malaysia is the Honda's largest hybrid vehicle market in Southeast Asia today, with a further increase in demand for hybrid vehicles expected. Thus, at the end of this year, HMSB will begin local production of hybrid vehicles using the existing production line. HMSB will begin production of the Jazz Hybrid, which is currently being imported from Japan, on the existing line, with production to be transferred to the second line when it becomes operational in 2013. HMSB, which became the largest hybrid vehicle seller in Malaysia in 2011 with sales of approximately 4,600 units, plans to sell approximately 10,000 units in 2012. As a leading hybrid vehicle company in Malaysia, Honda will locally produce hybrid vehicles and provide them to more customers with speed, affordability and low CO2 emissions.

Moreover, preceding the construction of the second production line, HMSB has expanded its test course and Pre-delivery Inspection (PDI) site. In addition, a new automated welding facility was introduced to the existing line timed to the local production of the all-new Civic which went on sale on July 12, 2012.
* Calculated with the exchange rate of 1 Malaysian ringgit = 24.8 yen

About Honda Malaysia Sdn. Bhd.

Established:          November 2000
Capital investment:   170 million Malaysian ringgit
Capitalization:       51% Honda Motor Co., Ltd.
                      34% DRB-HICOM Bhd.
                      15% Oriental Holdings Bhd.
Representative:       Yoichiro Ueno, President
Location:             Pegoh, Malacca (120 km south of Kuala Lumpur)
Business:             Production and sales of automobiles
Products:             City, Civic, Accord, CR-V
Production Capacity:  50,000 units a year
Employment:           Approx. 1,900 associates (as end of June 2012)

Media Inquiries
Source: Honda Motor Co, Ltd
Sectors: Automotive

Copyright ©2024 ACN Newswire. All rights reserved. A division of Asia Corporate News Network.

Related Press Release

Motul Asia Pacific proudly launches all-new Motul Asia Hub
March 02 2022 16:20 JST
Dakar 2022: A Showcase in the Desert
January 18 2022 15:15 JST
Motul FIM Superbike World Championship Set for Season Finale in Lombok, Indonesia
November 18 2021 14:00 JST
Worldwide Debut for Honda's All-New Honda BR-V in Indonesia; Totally New Design and More Advanced Features
September 23 2021 13:08 JST
Motul powers Honda motorbikes to a weekend full of victories
July 27 2021 16:30 JST
Motul and Honda Racing Corporation Aim for the Top in World Super Bike Partnership
March 31 2021 12:03 JST
GIIAS 2017, Indonesia's Premier International Automotive Event, Concludes
August 21 2017 22:00 JST
GAIKINDO Indonesia International Auto Show (GIIAS 2017) Hosts Three World Premieres
August 17 2017 19:00 JST
25th GAIKINDO Indonesia International Auto Show (GIIAS 2017) Officially Opens
August 14 2017 20:00 JST
Forty New Vehicles Launching at the GAIKINDO Indonesia International Auto Show (GIIAS) 2017
July 27 2017 15:30 JST
More Press release >>

Latest Press Release

More Latest Release >>