JAKARTA. PT Honda Prospect Motor, a joint venture between Japan’s Honda Motor Co. and Indonesia’s Prospect Motor, launched the Honda City, the new version of its mini-sedan, in Jakarta on Wednesday in a bid to further tap into the country's automobile market.

"We believe that the new City will be well-accepted by Indonesian customers and we aim to sell 2,400 this year," marketing and after sales service director Jonfis Fandy said.

Since its presence in Indonesia in 1996, Honda has sold 58,932 Honda City vehicles, making it the highest-selling mini-sedan in the country.

The new Honda City’s 1,500 cc i-VTEC engine is equipped with a paddle-shift feature, which is used in Formula-1 racing cars. It also introduces fuel-efficient technology that meets Euro-4 standards.

The new car is expected to increase Honda's share in the domestic mini-sedan market from 24 percent in 2011to 40 percent in 2012, Jonfis said.

Honda expects sales of 70,000 from all models this year, after booking a 35.05 percent decline to 45,416 sales last year, due to a disruption in supply from Thailand after the worst flooding in a decade affected the country.

Recently, Honda Prospect announced its plan to invest Rp 3.1 trillion (US$334.8 million) to build a new auto plant in Indonesia, tripling its current production capacity to 180,000 to fulfill rising demand in the domestic and regional market. The plant is slated to produce new Honda models, including the Brio, which at present is made in Thailand. (Linda Yulisman/ The Jakarta Post)

Editor: Edy Can