Honda to open KL plant

Honda to open KL plant

TOKYO (DPA): Honda Motor Co. said on Tuesday its new joint venture company in Malaysia will begin producing passenger cars at an annual rate of 20,000 units in early 2003.

DRB-Oriental Honda Sdn. Bhd. will manufacture the Civic, Accord and two other models, Honda said.

Funded last November, the joint venture will start building a plant on 320,000 square metres of land in Pegoh in July. Total investment is estimated at 5.4 billion yen (US$45 million), Honda said.

DRB-Oriental Honda is capitalized at about 16 billion yen (133 million dollars) with Honda having a 49 per cent stake. The remaining 51 per cent is split between two local firms - Orient Holdings Bhd. and its subsidiary Kah Motor Co.