On Monday Honda Vietnam Co began construction on a new motorbike and spare parts factory in the northern province of Ha Nam, its third plant in the country so far.

A factory of Honda in Vinh Phuc, Photo: VNE

Spanning a total area of 27 hectares, the US$120-million factory is expected to become operational after one year of construction, generate around 2,000 jobs, and contribute about VND400 billion to the provincial budget.

Speaking at the groundbreaking ceremony, Deputy Prime Minister Vu Van Ninh asked the provincial People’s Committee to create the best possible conditions for the contractor to ensure an on-time completion for the project.

Honda Vietnam said it will closely monitor the contractor, and begin offering recruitment and training for local workers, in order for the factory to begin operating immediately after its inauguration.

Honda Vietnam has been hit by scandal in the past few months as several motorbikes and scooters manufactured by the company have suddenly burst into flames in different localities countrywide.

In the latest case, a Lead scooter with two women on board caught fire on National Highway 5 while passing through the northern province of Hung Yen on December 17th.

The women managed to get off the bike before it was completely destroyed.

Earlier this month, on the morning of December 1, Nguyen Thi Quynh of the northern city of Bac Ninh, and her daughter, were driving to the girl’s school when their Honda Dream bike suddenly began to burn.

Quynh died that day due to serious burns, and her daughter, four-year-old Nguyen Khanh Van, passed away 10 days later.

On December 12th, a black SH scooter burst into flames in front of the Daewoo Hanoi Hotel in the city’s Ba Dinh District.

On October 27th, Nguyen Quoc Minh had his Honda Air Blade scooter burn down to its frame when he was taking his son to school.

On October 16th, another Lead ignited on Le Loi Street in Vinh City, central Nghe An Province; and on February 2nd, a Spacy met the same fate in Chau Thanh District, southern Tien Giang Province.

 The Lead scooter burned down to ash, leaving only a heap of metal frame

Honda Vietnam has held meetings to study the causes of thefires, but the company has yet to make a final conclusion.

Source: Tuoitre