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Thursday, 15 October 2009, 16:52 HKT/SGT
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Source: Honda Motor Co, Ltd
Honda Reaches 25 Million Units in Cumulative Motorcycle Production in Indonesia

JAKARTA, INDONESIA, Oct 15, 2009 - (ACN Newswire) - PT Astra Honda Motor (AHJ), Honda's joint venture company in Indonesia responsible for motorcycle production and sales, today held a ceremony to commemorate cumulative production of 25 million motorcycles, which was reached earlier this month, on October 3, 2009.

Honda began motorcycle production in Indonesia in 1971 through a technical collaboration agreement. In December 2000, AHJ was established integrating the functions of parts manufacturing, engine and body assembly and wholesales activities. In 2005, AHJ began production at its third plant which has an annual production capacity of 1 million units. The company now has an annual motorcycle production capacity of 3.1 million units, the second largest among all Honda subsidiaries and affiliates worldwide after only Hero Honda in India (with annual production capacity of 4.9 million units).

The total motorcycle market in Indonesia, which is the third largest in the world after China and India, marked an all-time record of approximately 6.2 million units in 2008, a 33% increase from 2007. Due to the global financial crisis, industry-wide sales declined during the first half of this year; however, the market started on a recovery trend due to various factors including a decline in policy interest rate, disinflation and stabilization of exchange rates.

In January 2009, Honda added an all-new Revo, which underwent a full model change, to its lineup of Cub-type models, which have been the key category in the market. In addition, to accommodate the recent increase in demand for automatic transmission (AT) models, Honda is enhancing its lineup of AT models by conducting minor model changes for both Vario and BeAT in July of this year and introducing Vario Techno, the first model in Indonesia which is equipped with CBS (combined brake system for front and rear wheels).

Outline of PT Astra Honda Motor
Establishment:         December 2000  
Start of operations:   January 2001  
Head office:           Jakarta, Indonesia  
Capital investment:    185 billion rupiah (approx, JPY 2.18 billion)  
Capitalization ratio:  50% Honda Motor Co., Ltd., 
                       50% PT Astra International  
Representative :       Miki Yamamoto, President  
Business:              Sales and production of motorcycles, components  
Employment:            Approx. 14,000 associates  
Production capacity:   3.1 million units/year
                       (1st plant:1.1 million, 2nd plant:1 million, 
                       3rd plant:1 million)  
Products:              Cub-type: Supra X125 (125cc), Blade (110cc), 
                       Revo (110cc)
                       AT: Vario Techno (110cc), Vario (110cc), 
                       BeAT(110cc)
                       Sports-type: Tiger (200cc), Mega Pro (160cc), 
                       CS1 (125cc)




Contact:
Honda Motor Co.
Media Inquiries
corporate_pr@hm.honda.co.jp
+81-3-5412-1512



Topic: Press release summary
Source: Honda Motor Co, Ltd

Sectors: Automotive
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