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Honda sets up factory in the heart of the Amazon

Mar 23, 2017

Honda Motor Co. first exported motorcycles to Peru in 1961. Because of the consistently growing popularity of its motorcycles in the country, the Japanese giant built a factory to consolidate its presence in the market. Now, the country’s oldest maker of motorcycles enjoys a 20 percent market share in its segment.

Honda del Peru President Makoto Toyoda

With an output capacity of 55,000 units a year, Honda’s production facility is the largest of its kind in Peru. Operating since 2007, the factory celebrates its 10th anniversary this year.

And while it may not come as a surprise that Honda del Peru’s production facility boasts the latest technology, the factory’s location has certainly caused amazement. Honda del Perú built its facility in Iquitos, a port city in the Peruvian Amazon that is inaccessible by road.

“Why the jungle? We saw the huge potential there even as far back as 34 years ago. We realized having the factory in Iquitos is part of our commitment for this country,” said President Makoto Toyoda.

Embracing the concept of omotenashi or Japanese-style hospitality, Honda has put the customer first in this highly competitive market. That commitment to customer service has made Honda a household name not only in Iquitos, but across the country.

Honda del Peru’s factory in Iquitos

“For Honda, price is important, but what is more important is the trust of our customers,” Toyoda said.

This year,

Honda del Peru’s factory in Iquitos

Honda will focus on improving its operations and growing with the Peruvian economy and its people.

“In terms of growth, our opportunity will be in automobiles. We think that the Peruvian automobile market will recover over the next two to three years. So, there is huge potential. In this sense, we are very much open to all investors, not necessarily limited to Japanese or Peruvian. What is important is that we share corporate values and the Honda philosophy. This is the key for success,” Toyoda said.

Article Tags: Peru, Honda, Automotive

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Peru 2017 was prepared for and originally printed in The Japan Times Newspaper.

PDF of the printed report

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