Honda’s China deliveries shrink in June 2021 due to chip supply constraint

Shanghai (Gasgoo)- Honda's China deliveries reached 118,168 units in June 2021, falling 17% compared to the same period in the previous year due to the impact brought by the chip supply constraint, the Japanese automaker said on Monday.

Accord; photo credit: GAC Honda

Both GAC Honda and Dongfeng Honda posted two-digit decrease in June deliveries. The joint venture with GAC Group delivered 57,641 new vehicles, representing a 19.5% decline from a year earlier. Meanwhile, 60,527 consumers took delivery of the vehicles from Dongfeng Honda, a 14.5% drop year-over-year.

The deliveries of Honda's vehicles armed with the hybrid powertrain system “Sport Hybrid” amounted to 19,927 units last month, up 7.5% from the prior-year period.

Despite the decrease in June sales, Honda’s China business still gained a 28.5% leap with its semi-annual deliveries reaching 786,535 units. Notably, the year-to-date deliveries of hybrid electric vehicles (HEVs) surged 61.2% to 116,804 units.

Dongfeng Honda made a greater contribution to the Jan.-Jun. growth. With 296,975 vehicles delivered in the Jan.-Jun. deliveries, the joint venture with Dongfeng Motor scored a 42.1% robust increase. GAC Honda also saw its year-to-date deliveries jump 15.7% over the previous year to 364,624 units.

Honda has become the first of Japan's automakers to state publicly it will phase out sales of gasoline-powered cars completely, setting 2040 as the goal, a media channel reported last month. Its electric strategy includes the roll-out of 10 new EV car models in China within five years.