Honda exports Chinese-built Fit to Canada, newspaper reports
Honda Motor Co. has begun exporting the Chinese-built Honda Fit to Canada -- part of the company's effort to ease its dependence on vehicle exports from Japan, reports the New York Times.
Like other Japanese automakers, Honda's profit margins have been squeezed by the rising value of the yen. It's an especially serious problem for a small car like the Fit, which has a small profit margin.
A new Honda assembly plant in Mexico will start producing the Fit in 2014, The Times notes. Until then, the company is expected to export the Chinese-built version to Canada.
In 2004, Guangzhou Honda Automobile Co. began producing the Fit at its plant in the south China city of Guangzhou. The joint venture is a 50-50 partnership between Honda and Guangzhou Auto Group Corp.
According to The Times, Honda has exported the Chinese-built Fit to 27 countries. However, exports to Canada will be small. In the first 11 months of the year, Honda sold 2,802 Fits in Canada, according to The Times.
