The Japanese auto giant Honda said on Monday that it is planning to launch a new low-cost 100 cc bike in the Indian market by the first quarter of next year. With this, the company will also invest heavily in its India operations to enhance its manufacturing capacity in the Indian market. It is to be mentioned here that Honda had exited the Hero-Honda joint venture about three months back and now it is planning to expand its operations in the Indian market independently. Honda is aiming to become the largest Motorcycle maker in the Indian market by year 2020.
Speaking to the reporters on Monday, Mr. Shinji Aoyama, outgoing president and Chief Executive Officer of Honda Motorcycle and Scooter India Pvt Ltd, a wholly owned subsidiary of Honda Motor said, "Until now we had not entered the mass segment because of the joint venture. Now we can. From next year we plan to introduce a mass segment motorcycle in 100cc category in India."
Established in year 1984, the Hero-Honda joint venture has been the largest two-wheeler maker in the world. The brand accounts for more than 50 percent market share in the Indian market. In December last year, Hero Group and Honda Motors announced that they had decided to part ways from the joint venture.
