Honda Sales Plunge 23% in China

Honda Motor Co. reports its new-car sales in China dropped to 39,500 units last month from 51,200 in July 2013.

Demand for the company's redesigned Fit small car nearly tripled in July. But analysts say consumers held off on purchases of Honda's aging models. Several of them, including the Spirior sedan and Odyssey minivan, are being updated this month.

Honda also will introduce its Vezel small SUV to the Chinese market later this year.

Honda's sales in China in the first half of the year grew 7% to 393,000 units. The company expects the new models will revive demand and enable it to hike full-year sales 20% to 900,000 units.