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Honda expands production of motorcycles in Pakistan

TOKYO July 8, 2006; Japan Today reported that Honda Motor Co said Friday its joint venture in Pakistan, Atlas Honda Ltd, began operations of its new motorcycle factory in Lahore earlier in the day, which increases its annual motorcycle output capacity from 400,000 units to 500,000 units.

Production efficiency will be improved at the new factory by cutting down on inventory, Honda Motor said. Atlas Honda aims to respond to the growing demand for motorcycles in Pakistan, Honda said. The market has been expanding rapidly, and is expected to grow to 800,000 units in 2006 from 500,000 units in 2005, it said