On July 25, multiple media outlets including Nikkei Asian Review and Jiemian News reported that Honda, the Japanese automaker, would reduce its production capacity of fuel vehicles in the Chinese market by 30%. The reports indicated that Honda would close down and halt operations at two fuel vehicle factories in China to cut back on production capacity. Among them, a joint venture plant of Guangzhou Automobile Honda Motor Co., Ltd. in Guangzhou would be shut down in October. This plant, mainly producing Accord sedans, has an annual production capacity of 50,000 vehicles. Meanwhile, the Dongfeng Honda joint venture plant in Wuhan will halt production from November, with an annual production capacity of 240,000 vehicles. As China is currently Honda's largest production base, the annual production capacity of Honda's fuel vehicles will be reduced from 1.49 million to 1.2 million after this reduction. In response, a Honda spokesperson said that this adjustment is part of Honda's response to changes in the Chinese market, and that the company hopes to optimize its production in China through this measure.
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