A joint venture involving Honda Motor Co. and a Chinese automaker said Thursday it has begun building an additional factory in China that would boast annual production capacity of 700,000 motorcycles and scooters.
The 69,000-sq.-meter plant, located in the Xintang industrial zone outside Guangzhou, will become operational in spring 2006, Wuyang-Honda Motors (Guangzhou) Co. said. The company put the construction cost at 2.56 billion yen.
The venture, equally owned by Honda and Guangzhou Motors Group Co., currently has an annual output capacity of 600,000 motorcycles and scooters.