The motorcycle industry in Bangladesh is undergoing rapid growth with strong government support, including promoting a localization policy and reducing supplemental duty in December 2016. This enables BHL to enhance the localization of component parts, which will increase cost effectiveness for the models of motorcycles produced at the new factory. For example, the new factory is introducing welding and painting sections for localization with technical support from Honda Motor in Japan. Initially, BHL will localize the body frame and swing arm and then gradually expand localization to other parts assembled at the new factory in the future.
The new factory opens up more opportunities for employment and technology transfer to local associates. Currently, the company has 390 associates, and BHL plans to increase the number of associates in line with its business expansion. The company will also provide associates with training in the skills necessary to deliver the best-quality products that will bring joy and satisfaction to Honda customers.
Yoshi Yamane, Senior Managing Director and Chief Officer for Production Operations of Honda Motor Co., Ltd., said, "Honda's 2030 Vision states ‘Serve people worldwide with the joy of expanding their life's potential' and ‘Lead the advancement of mobility and enable people everywhere in the world to improve their daily lives.' The inauguration of the new factory demonstrates one of the most important initiatives to realize this 2030 Vision. Bangladesh Honda will aim to develop further by providing reliable, quality products from this new factory."
Yuichiro Ishii, Managing Director and CEO of BHL, said "As the leading motorcycle manufacturer, and with the guidance and expertise of Honda Motor in Japan, we believe that the motorcycle industry will expand and contribute to the national economy by generating more employment, developing a skilled workforce, transferring technology, encouraging the growth of a parts supplier industry, and attracting more direct foreign investment."
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