Honda China sales in Oct up 42% to 50,660 units

Shanghai, November 11 (Gasgoo.com) Honda Motor said today that its sales in China last month rose 42% from a year earlier to 50,660 vehicles, Dow Jones reported.

In the first ten months, Honda's vehicle sales in the Chinese market grew 17.3% year on year to 459,994 units, the No. 2 Japanese carmaker said in a statement.

Sales were boosted by the popularity of the City model, whose sales last month almost doubled from a year earlier to 7,821 units. The subcompact car is made by Honda's Chinese venture with Guangzhou Auto Group.

The Civic compact car, made by Honda's joint venture with Dongfeng Motor Corp., also achieved good sales, which rose 83.4% in October to 8,502 units, the statement said.

Honda expects its China sales to increase 16% to 550,000 vehicles this year ending in December. Sales in China for the fiscal year ending in March will exceed an original forecast by 50,000 units.

The company is producing at full capacity in China and will likely increase its output. Dongfeng Honda will build its second plant in central Chinese city of Wuhan by March next year.

In the coming five years, Honda Motor plans to add about 500 car dealerships in China, where the Japanese carmaker will have 760 dealerships by the end of 2009, with 80 added this year.