Honda Motor's Chinese joint venture Guangqi Honda Automobile (GHAC) is planning to build a third production line at its ZengCheng plant in Guangzhou, Guangdong, China.
Construction of the third line which will start at the end of 2012 is expected to commence production in 2014 with capacity to produce 120,000 units per year and further double the capacity in future.
The company will also build a new engine plant for the third line, bringing its total investment in the dual construction work to RMB3.56bn ($564m).
With the new line the company aims to increase its output capacity in the country to 1.01 million units from the current 770,000 units.
In addition, Dongfeng Honda Automobile another Chinese JV of Honda is scheduled to start production at its newly built second plant in July 2012, increasing the company's annual production capacity to 360,000 units by next year.
