Honda, the Japanese automaker, has announced plans to launch five new SUV models in India by 2030, including a fully electric version. The company aims to revitalize its presence in the Indian market and compete with popular models such as Hyundai Creta, Kia Seltos, and Maruti Suzuki’s Grand Vitara. The global mid-sized SUV, Elevate, was recently unveiled in India and will be followed by the introduction of additional SUV models over the next few months.
Takuya Tsumura, President & CEO of Honda Cars India, stated that the company aims to participate in 50% of the overall market by focusing on SUVs. Currently, sedans account for approximately 10% of the Indian passenger vehicle market, where Honda is represented by models like City and Amaze. In contrast, the SUV segment constitutes over 40% of the market and continues to grow. The introduction of new SUV models is seen as a strategic move to capture a larger share of the market.
Elevate, equipped with advanced driver assistance systems (ADAS) and other safety technologies, will serve as the mainstream product for Honda in India, while subsequent SUV models will target the premium segment. The company plans to make India an export hub for the Elevate model, further emphasizing its commitment to the Indian market.
Regarding electric vehicles (EVs), Honda is planning a fully electric SUV based on the Elevate platform. The company intends to launch the EV within the next three years, directly entering the battery electric vehicle market without a hybrid version. Honda aims to capitalize on the growing demand for electric vehicles in India and globally.
In recent years, Honda Cars India faced challenges as new entrants like Kia surpassed its sales figures, leading to organizational restructuring and a focus on rejuvenating its business in the country. However, the company is now experiencing a healthy business cycle, with increased production capacity and profitability. Honda plans to increase production and sales figures in the coming years while enhancing the export of its sedans City and Amaze.
Toshio Kuwahara, Head of Regional Unit Asia and Oceania at Honda Motor Co, emphasized the importance of the Indian market for the company, which aims to achieve carbon neutrality across its global sales by 2040 by focusing on battery electric and fuel cell vehicles. India’s position as the third-largest automotive market globally and a significant export hub further highlights its significance for Honda’s future growth plans.
