(Guangzhou Comprehensive News) Japan Honda Motor's first layoffs since the establishment of a joint venture with GAC Group in 1998, but GAC Honda responded that the relevant reports were not true.

The Nikkei Chinese website reported on Monday (December 4) that GAC Honda plans to reduce the approximately 900 employees with a total number of employees in the company, mainly involving dispatched employees engaged in car assembly in the Guangzhou factory.GAC Honda has notified these employees in late November and promised to provide economic compensation stipulated in the contract.

It is reported that the sales of GAC Honda decreased by 18.5%year -on -year from January to October this year.Because pure electric vehicles have fewer styles and have been competitive by large Chinese car companies such as BYD, the company needs to adjust the production line.

The relevant person in charge of GAC Honda clarified the daily economic news that the report on layoffs was an error interpretation of the outside world. The company did not lay off layoffs, but only ended the agreement with the labor dispatch company.The person in charge emphasized that the adjustment of this time is only phased, which will not affect the advancement of GAC Honda's production line and the advancement of new energy and intelligent strategies.