Honda Motor announces major merger of two China business units

Shanghai (Gasgoo)- Honda Motor (China) Investment Co., Ltd. ("Honda China") announced on Jan. 30 that its wholly-owned subsidiary Honda Motor (China) Technology Co., Ltd. ("HMCT") will merge with Honda Engineering China Co., Ltd. ("EGCH") in order to further strengthen the strategic operation system for its China production works in the era of electrification.

After the merger, HMCT will continue to exist and the main business of EGCH will be taken over by HMCT Manufacturing Technology Guangzhou Company, according to Honda China's press release.

Founded in 2013, HMCT is responsible for product strategic planning, production strategic planning, vehicle R&D, and procurement strategic planning for Honda's China automotive business, promoting the implementation of Honda Motor’s localization strategy in China and providing products that meet Chinese consumers' demands.

EGCH was established in 2004 as Honda Motor's subsidiary in China dedicated to production technologies, mainly working on the R&D of production technologies, and the design, manufacture, and assembly of production equipment. It provides technical support for Honda Motor's production sites in China.

To boost its electrification transition in China, Honda Motor aims to launch 10 e:N Series all-electric models in China by 2027. Both GAC Honda and Dongfeng Honda, the Japanese automaker's two major joint ventures in China, have already kicked off construction of electric vehicle manufacturing plants.