TURKEY: Honda car plant bids evaluated

16 December 1994
NEWS

Japan's Hazama is expected to win the contract to build an estimated $30 million assembly plant for Honda-brand cars. Industry sources say the client, the local/Japanese Anadolu Honda, is soon to purchase a site for the plant at Gebze near Istanbul (MEED 21:10:94).

The other bidders are the UK's John Laing International, and the local firms Sezai Turkes-Feyzi Akkaya (ST-FA), Enka, Ozer and Baytur. Construction work on the complex is planned to start in April, for completion in about one year. Installing the machinery and commissioning the plant will take a further 12 months.

Anadolu Honda is 50:50 owned by Japan's Honda Motor Company and the local Anadolu Endustri Holding, a subsidiary of the local Efes Pilsen group. The joint venture plans to produce a model based on the Civic range of cars now manufactured by Honda. Production is expected to start in 1997 at about 12,000 units a year. This will rise to 30,000 units in the second year of production and 100,000 units at the end of five years. Total investment is expected to reach about $300 million.

Honda will be the second Japanese car maker to establish a large manufacturing plant in Turkey. A joint venture called Toyotasa between Japan's Toyota Motor Company and the local Haci Omer Sabanci Holding was opened for commercial production on 16 October. The plant is planned to produce 100,000 cars a year within two to three years (MEED 28:10:94).

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