Honda Malaysia Sdn Bhd today opened a 2nd line at its factory in Pegoh which will double total production capacity from 50,000 units of vehicles to 100,000 units annually and 200 units to 400 units daily. President and Chief Executive Officer of Asian Motor Co Ltd Hiroshi Kobayashi said the new line, with a total bu
Honda Malaysia Sdn Bhd today opened a 2nd line at its factory in Pegoh which will double total production capacity from 50,000 units of vehicles to 100,000 units annually and 200 units to 400 units daily.
President and Chief Executive Officer of Asian Motor Co Ltd Hiroshi Kobayashi said the new line, with a total build-up area of 49,190 square meters, comes 11 years after the first line was opened in January 2003, and took less than a year to complete with a total investment of RM382 million ($115 million).
With the opening of its 2nd line, Honda looks forward to assembling more vehicles for the growing Malaysian market, particularly in the small model and hybrid segment which has seen rapid growth over the past couple of years.
Meanwhile, Managing Director and Chief Executive Officer of Honda Malaysia Yoichiro Ueno said the automotive industry in Malaysia has shown rapid growth in the past 5 years with continuous support from the government especially in promoting energy-efficient vehicles.
"We have set our mid-term plan to make additional investments of RM1 billion ($303 million) in 3 years starting in 2012, to the manufacturing and sales network and with the mid-term goal of achieving 100,000 unit sales by 2016," he said.
He added that in order to achieve more affordable prices for Malaysian customers, Honda Malaysia is seeking to enhance the localization of component parts from the previous 30-40% to over 70% in the near future.