Honda plans massive expansions, while being busy increasing production for Amaze

It is a known fact that Honda Cars India is currently on cloud nine and is reveling in its new found success in the Indian terrain. Honda is also among those very few and lucky auto makers operating in India that are enjoying a positive growth despite of a slowdown stricken auto industry.

Honda has experienced a massive 45 percent sales hike in the month of June, which has now put the Japanese car major among the top 4 mar makers in India. A great positive growth following the company’s first diesel offering in India, the Amaze has made the company very confident in terms of further growth in the Indian market. Honda’s exports have also boosted considerably to make for a win-win situation for this company, when most of its rival companies are hard hit by market slowdown and are trying everything to handle the rough patch.

Honda Cars India Limited (HCIL) started experiencing its outstanding success right after the launch of the Amaze compact sedan in India. Being the first diesel model from Honda, the Amaze also boasts of being the most fuel efficient car in India. The diesel and most fuel efficient formula proved to be a killing combination that completely took over the Indian mileage loving consumers and went ahead to become a super success. Moreover, based on the popular Bro hatchback’s platform, the Amaze also offers great styling as well as competitive pricing which is resulting in its continuous growth in popularity.

Honda has been very quick to respond to this amazing growth rate, and has gone ahead with the announcement of the launch of 4 more fresh models by 2015 in India. Honda also accepts that this incredulous success in such market conditions has been possible for its diesel offering and has said that the new models will be arrival in both petrol as well as diesel avatars in order to pump up the sales rates further.

The Honda Amaze sedan sales has accounted for about 60 percent of the Japanese company’s total sales volume. Honda has reportedly sold 20,076 units of the Amaze in the 2nd quarter of this year. At present Honda is busy pumping up the production capacity for the Amaze, as the company is unable to deliver enough cars as per the demand. There are already a lot of customers who have been given a waiting period ranging between 3 to 5 months before they can take home their new Amaze. To cope up with the demand for the Amaze, Honda India is about to add a third shift to its manufacturing facility at Greater Noida by end of the current year. Honda is also focusing on increasing its localization of components.

Honda is not only concentrating in increasing its product portfolio for India but also planning to expand its footprint in the country. Honda is also planning a dealership expansion in the current fiscal. At present, there are 153 official Honda dealerships in India, which the company wishes to increase to 162.