After its split with the erstwhile partner Hero group, Honda Motor is planning to bring a bevy of 100cc bike models in the Indian two-wheelers market. This step comes as a part of the company’s strategy to establish itself as the leader in the country’s two-wheeler market by 2020.
After two and a half year of separation from the erstwhile partner, Honda has taken this step to concentrate on its fully-owned domestic subsidiary. India is currently the second-largest two-wheeler market for Honda after China.
“Using further growth in emerging markets, where continuous expansion is expected, as a driving force, Honda will continue to be proactive in evolving its motorcycle business. In India, Honda will strive to further grow its motorcycle business through introduction of highly competitive models in the 100cc segment, which is the largest segment in the motorcycle market,”Honda Motor Global CEO, Takanobu Ito, said in a speech in Tokyo.
The two upcoming models from Honda are likely to be based on the ‘Dream Yuga platform’ which was launched by the company in May this year.
In spite of little efforts in two and a half years Honda luckily has been the only major company to register strong growth in the last few months. The company registered a growth of 39 per cent and 57 per cent in the months of August and July respectively.
In the months of July and August, market leaders Hero MotoCorp, Bajaj Auto and TVS motors have also witnessed a giant decline in demand and establishment of inventories. The Japanese auto maker is also rapidly increasing its output.
The company has two plants operational at Manesar in Gurgaon and Tapukara in Rajasthan. A third plant near Bangalore is expected to commence production by the first half of the next year, taking a huge annual capacity to 4 million units from the existing 2.8 million units.
Sources informed that the fourth and fifth plant is also on company’s further plans one of which might be established in Gujarat.