Honda reveals plans for India in 2014

Indian division of Honda Motors which is enjoying prolonged success since last year on the back of its popular models Amaze and City has announced clear cut plans to continue this momentum in 2014 too. The automaker is making preparations to launch its Jazz hatchback and Mobilio MPV later this year which are entirely new models therefore will need to have required amount of excitement and curiosity built around them to encourage buyers to try them out. Honda’s senior executive revealed that Mobilio which is currently under production will be launched in June-July 2014 which will be followed by launch of Jazz hatchback during festival season in Sept – Oct of 2014. A major factor contributing to Honda’s success has been introduction of diesel models at right time and based on current growth rate the firm aims to achieve a position among India’s top five manufacturers by 2014-15.

The pilot production of Mobilio is already underway which comprises of nearly 90 percent of locally sourced components. This feat has been achieved by Honda’s amazing engineering team to keep cost of production low therefore even the Mobilio can be presented at low entry price. The production model which was presented at Auto Expo 2014 in Delhi showed that Mobilio can easily seat seven occupants and be a tough competitor for Maruti’s Ertiga van. According to market rumors the Mobilio will be presented with both diesel and petrol fuel options with Honda’s legendry fuel efficient engines in both categories to meet demands of varied customers. The Mobilio is being built at Honda’s production facility near Noida’s industrial area.

Jazz hatchback model may take a few more months to launch as company is yet to decide its variants and place of production. In international markets the Jazz is available in both petrol and diesel engine options along with manual and automatic transmission for better power.  To keep production costs low and present this model at a competitive price in market, Honda will be sourcing around 72percent of its components from local markets.  Talking about other rumored products to launched by Honda in local markets the spokesperson also stated that neither the Vezel crossover nor the Civic sedan are likely to be sold in India in near future. Since the D segment is shrinking Honda has delayed introduction of CR-V diesel variant and also Vezel into domestic markets.

Honda’s strategy for the future will focus on increasing volumes in existing and new markets as this will please dealers and vendors alike. Commenting on existing high performance models he stated that Amaze’s waiting period has now been reduced to three weeks while City sedan’s waiting period is still high at three months. Also while Amaze’s demand is 55 percent for diesel variant it is facing increasing pressure from recently launched Hyundai’s Xcent compact sedan. Other plans for 2014 – 15 include introduction of Accord sedan to take on Skoda Superb and expansion of Tapurkara plant’s capacity to build both complete models and components. Besides increasing exports in forthcoming years, Honda also plans to increase dealer network from 170 to 250 to make their products available to a larger number of local citizens.