HONDA TO CONSOLIDATE MOTORCYCLE PRODUCTION
September 22 2006.

Honda has announced that it will integrate motorcycle production in Japan to beef up its production engineering and know-how.
The Japan's auto and motorcycle maker will shift production of medium to large motorcycles from its Hamamatsu plant, central Japan to its Kumamoto plant, western Japan.
Honda will set up a motorcycle plant on the site of the Kumamoto plant with an annual capacity of 600,000 motorcycles.
The company said it aims to strengthen its technology and expertise as more advanced safety and environmentally friendly technologies have been applied to motorcycles.
The decision comes as the company aims to boost its global motorcycle sales to over 18 million motorbikes by 2010, an increase of more than 5.7 million from 2005.
After shifting bike output from the Hamamatsu plant, Honda will aim to increase capacity for automatic-vehicle transmissions at Hamamatsu, as it expects its global vehicles sales to grow to more than 4.5 million vehicles by 2010, an increase of more than 1.1 million from 2005.
The carmaker hasn't yet decided on how far it will ramp up production capacity, a Honda spokesman said. At the Hamamatsu plant, it produced 626,000 automatic transmissions last fiscal year ended March.

Source: Nikkei Net