With influx of EVs and new technology, Honda Cars might look to set up a third plant in India over the next few years.
A report by Times of India says that Honda Cars could possibly set up a third plant in India in the next few years and also invest a sum of ₹ 9,200 crore over the next decade, which will bring the total investment sum to over ₹ 18,500 crore since the company started operations in 1998. Gaku Nakanishi, President and CEO, HCIL, said that introduction of new models, better technologies and EVs will need a new plant. In fact, Times of India reports that Honda is looking for land in a Gujarat currently. Nakanishi also said that Honda’s plan of bringing electric and hybrid cars to India could start in 3 years’ time from now. He said that for bringing in electrified vehicles, the infrastructure needs to be in place and government subsidies will also play an important role in acceptance of electrified vehicles.
Honda has already started developing electrified vehicles under its Clarity brand and some of the models have already gone on sale in Japan and USA and while there is no confirmed timeline for the launch of Honda’s Clarity range in India, Honda could very well launch a mass market hybrid model in the next three years or so.
At present, Honda has two plants in India, one in Greater Noida and the other in Tapukara, Rajasthan. The total installed capacity of HCIL is 2.8 lakh units a year and it sold about 1.7 lakh units in the last financial year which is 2017-18.
Source: Times Of India/ET Auto