Honda May Open New Plant In Indonesia

Honda Motor Co. is considering establishing a new automobile plant in Indonesia to meet growing local demand for cars, industry sources said Wednesday.

TOKYO (Kyodo) -- Honda Motor Co. is considering establishing a new automobile plant in Indonesia to meet growing local demand for cars, industry sources said Wednesday.

The Japanese automaker will produce its Jazz subcompact, called the Fit in Japan, at the new plant which is expected to start operation in 2014, the sources said. Production of the Brio hatchback for Asian markets is also being considered, they added.

Honda is also planning to beef up its existing facilities in Indonesia and largely increase its annual production capacity in the Southeast Asian country from the current 60,000 units, the sources said.

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