Honda bringing four new hybrids to China, including Acura NSX

PRESS RELEASE

BEIJING, China, April 10, 2012 - Honda Motor (China) Investment Co., Ltd. today announced its mid-term business strategy for China.

Outline of mid-term strategy
・ For the Honda brand, introduction of more than 10 new and full-model-change models is scheduled during the 3-year period from 2013 to 2015. By enhancing its product lineup, we will steadily increase our sales striving to double its 2011 unit sales in 2015.
・ Honda will more focus on the needs of customers in China and introduce a number of products that will bring joys to customers.
・ All Honda vehicles sold in China will shift to new engines that apply Earth Dreams Technology, Honda's innovative next-generation technologies. The engines of all Honda brand vehicles will be renewed by the end of 2015. In this way, Honda will strive to realize the highest fuel economy in each vehicle category in the Chinese automobile market.
・ As for hybrid models, within this year, Honda will introduce three models to the Chinese market. All three models, the CR-Z, the Insight and the Fit Hybrid, are equipped with Honda's original IMA (Integrated Motor Assist) lightweight and compact hybrid system.
・ Honda is currently preparing for local production of hybrid models in China. Through local procurement of key components such as batteries and motors, Honda will strive to reduce costs in order to popularize hybrid vehicles in China.
・ As the next step following the popularization of the IMA hybrid system, Honda will introduce to the Chinese market a new hybrid system most appropriate for mid- to large-sized vehicles as well as a plug-in hybrid system.
・ As for electric vehicles, Honda began demonstration testing in Guangzhou last year. Based on the results of this testing, Honda is preparing to begin local production at Guangqi Honda sometime toward the end of this year.

・ The new NSX will be introduced to the Chinese market which represents the Acura brand. The new NSX will apply the Sport Hybrid SH-AWD(R) (Super Handling All Wheel Drive) hybrid system which combines superior driving and environmental performance.
・ The Acura brand will strengthen its product lineup in China this year with introduction of the ILX, a small-sized sedan, and the RDX, a small-sized SUV, as well as the scheduled introduction next year of the RLX luxury sedan.
・ Moreover, starting in stages next year, the Acura brand is planning to introduce models equipped with new, relatively small-sized engines, for which demand is high in China.
・ The powertrains of all Acura models also will be renewed by the end of 2015 to bring the latest advanced technologies to customers in China.

・ Honda is considering the establishment of a Honda design studio in China. The R&D teams of the joint venture companies, the development team of Honda China and Honda research centers in Japan will work together to significantly enhance Honda's R&D capacity in China. Through this initiative, Honda will further strengthen its system and capability to enable its Chinese associates to locally develop products that exceed the expectations of customers in China.
・ Along with the further localization of our development, Honda also will pursue further localization in the sourcing of parts and components. To increase cost competitiveness, Honda will further increase the number of new local suppliers.

・ In July of this year, the second plant of Dongfeng Honda will begin production. At this new plant, Honda will employ the world's latest production technologies to achieve excellent environmental performance and to make it an advanced plant with a human-friendly workplace for associates.
・ Guangqi Honda is also making progress with a plan to build its third line and is aiming to begin production on this new line in 2014.

・ Honda is taking various actions to attain new growth while moving toward the new era of a fast-changing China. To communicate its passion, Honda will begin a new brand communication campaign with the key phrase of 「」 -- meaning "a new future will be carved out when Honda takes new actions together with its customers."
・ The Acura brand will also adopt a new brand key phrase of 「」, which will help communicate the values of Acura products and services more clearly to the customers. This means that Acura brand vehicles put the central focus on customers, and provide each customer with the joy of becoming one with the vehicle and the freedom of maneuvering at the will of the driver. In the area of service, we will put the focus on customers and further strengthen our well-established service by providing customized services for each customer.

・ Honda will initiate the promotion of racing activities and expand the awareness of motorsports activities which are currently hasn't yet gained great popularity in China. Honda will participate in the FIA World Touring Car Championship (WTCC) starting this year. In addition, Honda will race on a spot participation basis in the China Touring Car Championship (CTCC), starting this year.
・ For this year's China Grand Prix in November, Honda will participate both in WTCC and CTCC.

・ At the Honda booth, two concept models that focus on Chinese customers will make their world premiere. In addition, hybrid models (CR-Z, Insight, Fit Hybrid) which will be introduced to the market this year, will be on display.
・ At the Acura booth, in addition to the all-new NSX Concept, the ILX and the RDX which will be introduced to the Chinese market this year, will be on display.
・ The Honda booth and Acura booth will each host a press conference at 10:00am (11:00am Japan time) and 10:30am (11:30am Japan time), respectively, on April 23, 2012.

Honda Announces Acura NSX Supercar to be Built in Ohio

Honda will build a new central Ohio factory to make the Acura NSX “supercar” that it will offer for sale worldwide.

Honda, which owns the Acura brand, made the announcement and revealed a preliminary version of the sports car yesterday at the North American International Auto Show. The car will go on sale in about three years.

“The U.S. will be the strong hub of our global business for the Acura brand,” said Takanobu Ito, Honda’s president and CEO.

The specific location of the plant and the number of employees that would work there were not disclosed. The company did not say whether the car would be built at a new free-standing plant or whether it would build an addition to an existing plant, such as its production facility in Marysville.

This marks the revival of a model Acura produced from 1990 to 2005 in Japan. At the time, the $90,000 price tag was high for Acura, but its high performance and reliability made it a bargain, said Bill Visnic, a senior editor at Edmunds.com.

“It was a Ferrari-type car for way less than Ferrari-type money,” he said. “It was in every way a groundbreaking and trendsetting car.”

A high-performance vehicle like that would be a niche product, which means only a small number of employees likely would be needed to build it. The previous generation of the NSX topped out with annual sales of 1,940 in 1991.

More important than the number of vehicles sold is the technology being developed for it, work that will occur in Ohio, said spokesman Ron Lietzke. For example, the NSX will have an all-wheel-drive hybrid system, a new kind of gas-electric hybrid that aims to provide high performance and functionality.

“Honda associates are up to the challenge of producing the new NSX for global customers with a high degree of craftsmanship,” Hidenobu Iwata, head of Honda’s North American manufacturing, said in a statement.

Honda also unveiled new designs for the Acura RDX crossover, which is assembled in Marysville, and a preliminary version of a compact sedan, the ILX, which will be built in Greensburg, Ind. Both of those vehicles will go on sale this spring.

The new RDX will feature improved horsepower and fuel economy. Dealers sold 15,196 of the model in 2011.

Meanwhile, the ILX will be the brand’s entry-level model, with a price point that likely will start at less than $30,000.

Acura sales suffered in 2011 because of the bad economy and the production disruption caused by the March earthquake and tsunami in Japan, which cut inventories. Sales fell 8 percent compared with the previous year.

Company executives are predicting they will sell 180,000 vehicles this year, a 45 percent increase.

Honda does not plan to ask for any government aid or incentives to help pay for the NSX plant. This is in line with Honda’s practice on previous expansions in its three decades of building cars in Ohio. The company is one of the state’s largest employers, with 13,400 workers.

“That’s good for Honda and good for all of us,” said Sen. Sherrod Brown, D-Ohio, who attended the Detroit show.

He said that other companies can learn from the way Honda is expanding without seeking government money.

Source: Columbus Dispatch