Honda to delay expansion plans

Honda Motor Co. will scale back its overseas expansion plans, in response to the global sales and demand slump. Honda has decided to review a ¥1.3-billion (US$14.4 million) investment plan to increase capacity by roughly 26% at its Turkey factory, which produces the Civic and other small cars bound for Russia, where vehicle demand has cooled rapidly since October. In addition, the scheduled 2010 launch of Honda’s second Indian plant, designed to turn out 60,000 vehicles a year, will be put off to 2011 or later. New-car sales in that country plunged 72.1% in October. (December 3, 2008)