20000416

Honda to launch

compact cars

next year

TOKYO: Japan's Honda Motor Co. Ltd. will launch compact car models made with a single platform and marketed in Japan, Europe and other parts of the world, a report said on Saturday.

Honda plans to start producing the so-called world basic cars, with engines sizes ranging from a 1,000cc to 1,500 cc in Japan as early as next year, followed by British production in 2002, the Nihon Keizai said.

The output will start in Brazil, Thailand and other Asian cities in 2003 or later, the business daily said, adding the automaker was aiming at worldwide production of 300,000 units a year.

The company will sell the cars mainly in Japan and Europe but is considering launching them in the North American market, it said.

Honda plans to make three or four models on one platform to reduce development costs, it said.

The vehicles would run up to 30 kilometres (19 miles) per litre, one of the world's highest fuel efficiency rates, it said.

Honda's Japanese rival, Toyota Motor Corp., has already launched such cars. No immediate comment was available from Honda.ÑAFP