Honda Motor Co. plans to add an average of about 100 car dealerships a year in China over the next five years to meet demand, Chief Financial Officer Yoichi Hojo said Wednesday.
The automaker will have added about 80 dealerships in China by the end of this year, bringing the total to 760, Hojo said. Honda is producing at full capacity in China and will likely have to increase its manufacturing ability, he added.
"Our customer base in China's interior is growing, so we have to increase dealerships in those areas in addition to the coast," he said.
Honda is expanding its sales network in China as demand rises for Accord sedans and City compacts.
Hojo said he expects sales in China to increase 16 percent to 550,000 this calendar year, and sales in China for the business year ending in March will exceed the original forecast by 50,000 units.
Honda has almost tripled its full-year profit forecast.