[PEN-L:28299] Honda to boost low-cost motorcycle exports from Asia

["Ulhas Joglekar" <joglekarulhas@xxxxxxxxxxx>]

The Times of India

MONDAY, JULY 22, 2002

Honda to boost low-cost motorcycle exports from Asia

AFP

TOKYO: Japan's Honda Motor Co. Ltd. has begun to boost low-cost motorcycle
exports from its Asian plants, which had formerly targeted output for the
Japanese market, a spokesman said on Monday.

Honda is to ship some 13,000 motorcycles in this way by March 2003, with
over 30,000 units planned in the year to March 2004, the company said. "We
can achieve better cost competitiveness if we ship scooters from China, for
example, than if we ship from Japan," said Honda spokesman Kazuhiro Suda.

By next spring, Honda plans to transport 6,000 units to Nigeria from its
joint venture Wuyang-Honda Motorcycles (Guangzhou) Co. in China. The
motorcycles, which have already begun to be shipped, will sell for under
100,000 yen (860 dollars), about half the price for exports from Japan, Suda
said.

Honda Vietnam Co. plans to export 7,000 units of the 100 cc Wave alpha
motorcycles to the Philippines, also for less than 100,000 yen. In India,
Honda Motorcycle and Scooter India (Private) Ltd., a wholly owned
subsidiary, will start producing scooters with an engine displacement of
around 100 cc for European markets in spring 2003, projecting annual
shipments of more than 20,000 units.

The firm will also continue importing bikes made in China to Japan, saying
Monday a 50 cc Today scooter will go on sale nationwide from August 8 priced
at 94,800 yen. "Taking advantage of Honda's global network, the Today is the
product of Japanese research and development, appropriate parts procurement
from various countries throughout Asia and assembly in China," Honda said in
a statement.

It aims to sell 100,000 Today bikes per year in Japan. Honda targets global
annual sales of 11 million motorcycles in fiscal 2004. Japan's number two
automaker said in April it posted a record 362.7 billion yen net profit in
the year to March on an unprecedented 7,362.4 billion yen in sales, citing a
weak yen and strong demand.

Copyright © 2002 Times Internet Limited. All rights reserved.