The production of Japanese motor vehicles increased during July despite the continued difficulty in worldwide economies.

Production at Toyota increased by nine per cent on last year's figure, reaching 720,923, while Nissan and Honda saw increases of 27 and 18 per cent respectively.

Japanese automakers have enjoyed a period of prosperity as customers continue to be attracted to the smaller, fuel efficient models.

Honda is reflecting this demand in its production after it built more cars than trucks in July as demand grew.

The change of focus is also reflecting on North America as Honda is now becoming less reliant on the continent for its business.

The firm is also setting up a new factory in India and has raised production by 42 per cent in China.

Plans to double production within two years at its Dongfeng Motor Group are also underway.



Source:

Japanese auto production picks up, 27/08/08
http://news.bbc.co.uk/1/hi/business/7583913.stm

Honda Raises Global Output on Demand for Fuel-Efficient Cars, 27/08/08
http://www.bloomberg.com/apps/news?pid=20601101&sid=aCztFTxeYOkk&refer=japan