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Honda back up and running in China after floods

TOKYO
Thu Jun 19, 2008 5:41am EDT

TOKYO (Reuters) - Honda Motor Co said it expected its production in China to return to normal on Friday after it brings back on line the last of five factories that had been suspended due to flooding in the region.

Stocks  |  China

Japan's No. 2 automaker had suspended production on and off at all four of its Chinese car assembly plants and an engine factory since as far back as June 3 after heavy rains flooded two of the facilities in Guangzhou.

Honda has restarted production at four of the factories at various points starting from June 11 to June 17.

It will bring an engine plant that was partially restarted on June 13 to normal operations on June 20, when it also plans to restart operations at an assembly plant in the southern city of Guangzhou, a spokesman at the car maker said.

The spokesman said he did not know the degree to which its output would be affected by the shutdowns but that it would aim to make up for the shortfall over the next two months, for example by operating on holidays.

Honda's four car factories have a total production capacity of 530,000 vehicles a year and are a growing source of earnings. (Reporting by Nobuhiro Kubo and Nathan Layne; editing by Sophie Hardach)



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