Honda China June sales fall 2.7% y/y to 50,113 units

Shanghai, July 12 (Gasgoo.com) Honda Motor, with its China operations hit by recent strikes over pay, saw its sales in the Chinese market last month fall 2.7% from a year earlier to 50,113 units, media reported today.

In the first half, Honda sold 309,575 units through its two joint ventures in China, up 22.0% year on year, the Japanese automaker said in a statement.

In June, Honda's sales had the second straight month of declines in the Chinese market that grew nearly 20% during the period. The decline is attributed to labor strikes at Honda's suppliers and the resulting disruptions its car assembly plants over the past several weeks.

Guangqi Honda (a venture with Guangzhou Auto Group), which had its productions halted several times by the strikes, reported a near 24% fall in car sales in June, while Dongfeng Honda, less affected by labor troubles, reported a 40% sales gain in the month.

Dongfeng Honda Automobile Co Ltd, a 50-50 joint venture between Dongfeng Motor Group and Honda Motor, sold 128,000 vehicles in the first half, up 41.5%. In June alone, its CR-V vehicles sold a record 13,500 units.

Honda Motor said that its output in China fell 15.7% in May, the first year-on-year decline within 12 months, and that its car sales in China dropped for the first time within 15 months.