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Honda Motor Co. said Tuesday that a new subsidiary will start producing automobile parts in Thailand for the Asia-Oceania market next June.

Asian Parts Manufacturing Co. in Ayutthaya Province will invest about 3.8 billion yen into the spare parts plant, which will employ about 200 workers.

The new subsidiary will integrate Honda’s body spare parts production in the Asian-Oceania region to improve quality and reduce costs, the company said. It will also export parts to Europe and Japan for global models, including the CR-V and the Jazz.

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