Japanese automaker Honda Motor has announced that it will be launching six new models in the car market of India in the span of the next three years in order to improve its market positioning.
Honda Cars India, the fully owned Indian subsidiary of the Japanese auto major, has been doing pretty good in India and is one of the top automakers in the country. However, as the Indian market competition is getting tougher with the passage of time, Honda is looking to boost its sales by expanding its Indian product lineup to cater to the market demands in the near future.
The Japanese car giant is expected to launch a slew of new models in the Indian car market, including luxury hybrid models. However, Honda Motor has clarified saying that the there will not be any hybrid model or electric car models in the upcoming new models that are being planned to launch in India in the next three years. Thus, Honda has negated all the speculations of hybrid cars planned for the Indian market. Honda has also said that the company it still waiting for clarifications on the Indian government policies regarding electric mobility.
While speaking to the Indian media, the Chief Executive Officer of Honda Motor Co. Takahiro Hachigo, said that the company has six big upcoming launches in India in the next three years. Hachigo also added by saying that it will not include any battery powered vehicles.
He also revealed that all of these new models will be locally assembled in India, at the company's two manufacturing facility in the country. However, he refrained from revealing anything further about the new upcoming car launches including the details of the segments in which these new models would be fitting in.
When the journalists inquired about the absence of the hybrid models in the upcoming product range, Hachigo clarified by saying that when the Indian market is concerned, the company doesn’t have a clue if the hybrid segment will grow or how the electric vehicle segment will grow or not. The company needs to study the Indian government’s policies to understand more and then take the decision on launching these models. The advantages of hybrids however, is that they can use existing infrastructure, Hachigo added.
The Indian government’s GST Act has cause a lot of grief among the auto makers operating in India. When first implemented, the GST was hugely welcomed and the automakers happily slashed down the prices of their products, as the cess for the automobiles was reduced. However, all the applause soon ceased, as the government increased the cess for the automobiles, especially for the luxury, high-end and hybrid models. The hybrid vehicles thus became more expensive, as the tax under GST has increased than the previous taxation system.
Hachigo said that the company would make efforts to make the hybrid vehicle models more affordable for the buyers rather than fret about the support that it can get from the Indian government.