market dynamics
The difference between Chinese Honda and Thai Honda?
Release date:2023.05.04

As a global brand, Honda has about 130 factories worldwide. For motorcycles, Honda has two representative regions: One is in China and the other is in Southeast Asia. There are two opinions on the Internet. One is that domestic Honda is inferior to Thai Honda products; the other is that no matter whether it is domestic Honda or Thai Honda, as long as it is a Honda brand product, it is almost the same.

As a global company, Honda has a Honda Global manufacturing standard, which is beyond doubt, and this standard must exceed the legal standards of the host country. At the same time, Honda has a product localization strategy, that is, Honda sole proprietorship or joint venture in various places, according to the regulations and consumption habits of the host country, try to make use of local industrial supporting facilities, and produce marketable products in the host country at the lowest cost.

Honda entered the Chinese market. According to the laws of China at that time, the share ratio of foreign investment in factories in China could not exceed 50%. In addition, China has a vast territory and a large gap between the north and south markets. In this way, the foreign party of the joint venture will have the right to speak. Honda is the same, so motorcycle will have new Continent Honda and Wuyang Honda two joint venture. Considering that our country has its own motorcycle industry, especially the motorcycle enterprise of our country with the strong ability to COPY and copy, Honda is quite prudent in investing in motorcycle technology in our country. It is always tread on the market consumption power to invest in corresponding products, and there will never be radical policy in product investment.

In contrast, the joint venture between Thai Honda and domestic enterprises is different. Honda's Thai enterprises control the absolute voice, and Thailand does not have its own motorcycle industry, so the technology content of Honda's products in Thailand is relatively higher, because Honda does not worry about the technology being copied or even surpassed. In particular, after the implementation of zero tariff between ASEAN and Chinese motorcycle products, Honda will produce all motorcycle products under 1000CC in Thailand and export them to China. In this way, it can not only prevent its large row technology from being copied, but also seize the Chinese market.

With the rapid development of the large motorcycle market in China in the past two years, it is impossible for the motorcycles produced by Honda in Thailand to meet the demand of the domestic market, so Honda decided to introduce the medium motorcycle products to the domestic joint venture for production, especially the Fosha 350, PCX160, LEAD and other products produced in Thailand to the domestic production. I compared the differences between the two products. It is mainly reflected in the product supporting, such as appearance parts, shock absorption, tires, batteries, exhaust pipes, frame, etc., are all domestic production or supporting, but Honda still controls the engine parts, ECU and other core technologies in its own hands.

As for assembly, the assembly level of Chinese industrial workers is by no means inferior to that of Thai industrial workers. In terms of price, Honda is priced according to the consumption level and cost of each market, so some people may feel that the domestic Honda is priced lower than the imported Honda, but it is more expensive than the local Honda.

Compared with Honda's selling price in Hong Kong and Taiwan, we seem to think that we are much cheaper, so there is no point to worry about these. We can only look forward to the real progress of domestic brands and build their own core competitiveness, so that it is possible to shake the strong position of Japanese brands and European and American brands in our motorcycle market. We can get better cars for less money!

(Text and text from the network, infringement please contact delete)