Indonesia - Honda Prospect Motor begins production of Mobilio

16/01/2014 - 10:22 Honda Mobilio, Honda Karthik H

Honda announced via a press release that Honda Prospect Motor, Honda's subsidiary in Indonesia, has inaugurated its second manufacturing facility in Karawang, West Java, to manufacture the Mobilio MPV.

Honda Plant Indonesia Mobilio roll out — The Indonesian plant in Karawang becomes the world's first site to manufacture the Mobilio MPV.

The second factory for Honda in Indonesia will be the first global site to manufacture the Mobilio MPV, which is set to come to India during the next fiscal. Honda's new plant in Indonesia will more than double its production capacity in the country, with capacity rising from the existing 80,000 units to 200,000 units per year.

The press release also states that production of the Mobilio takes local content of Honda Prospect in Indonesia up to 86 percent. Given that the Indonesian market is equally, if not more than, cost-competitive as India, it could be speculated that the Mobilio will be heavily localised when production starts here in India. Apart from its existing plant in Greater Noida, Honda is setting up a plant in Tapukara, Rajasthan, which will become operational in this quarter.

Honda plant Indonesia Mobilio production — The Mobilio MPV is based on the Brio platform and will come to India in the next fiscal.

Honda's 2nd plant in Indonesia also gets a material supply area, stamping, plastic injection, plastic painting and vehicle quality facilities. The plant is located right next to Honda Prospect Motors' first plant in the country.